Paul Tassin  |  November 21, 2016

Category: Consumer News

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Uber-Settlement-BacklashUber charges its riders cancellation fees without proper warning and in some cases without justification, a class action lawsuit claims.

Plaintiff Julian Metter of Los Angeles says defendant Uber Technologies Inc. has been automatically charging cancellation fees to its riders’ credit cards. Metter claims Uber fails to give its riders proper notice of its cancellation fee policy before they request a ride, allegedly violating consumer protection laws.

According to the Uber class action lawsuit, riders incur an Uber cancellation fee if they cancel a ride request outside the two- to five-minute window allowed for cancellation. The amount of the Uber cancellation fee varies according to the rider’s geographical location, Metter says.

Metter claims the Uber app doesn’t inform the rider about the cancellation policy until after the rider has requested the ride, the driver has accepted the request, and the rider has activated the app’s cancellation option.

Uber assesses cancellation fees even in cases where the rider has no desire to cancel the ride, Metter claims. Sometimes the Uber driver is delayed or can’t provide the requested ride, Metter says, putting the rider in a position of having to cancel their ride request.

Even under those circumstances, where the ride may have been cancelled through no fault of the rider, Metter claims the rider still can get hit with an Uber cancellation fee.

Drivers can also cancel a ride request. When they do, Metter says they have the option of indicating in their own Uber app that the request was cancelled by the rider, which also causes the rider to incur an Uber cancellation fee.

While the company says the Uber cancellation fee is intended to compensate drivers for the work expended in responding to a ride request, Metter says that Uber itself has an interest in assessing these fees due to a 25 percent cut the company allegedly takes from them.

Metter’s claims echo those raised in an earlier Uber cancellation fee class action lawsuit filed this past summer in a federal court in California. The plaintiff in that case accuses the company of charging an Uber cancellation fee of $5 or $10 if the driver is more than 10 minutes late, regardless of whether the rider does anything to get the ride cancelled.

In Metter’s action, he seeks to represent a plaintiff Class consisting of all persons in the U.S. who incurred an Uber cancellation fee while using Uber’s ride-sharing service.

He seeks a court order barring Uber from continuing to assess and collect Uber cancellation fees and wants Uber to reform its cancellation policy in a way that will prevent the harm complained of from happening. He also seeks an award of damages, restitution, court costs and attorneys’ fees, all with pre- and post-judgment interest.

Metter is represented by Lee A. Cirsch, Robert K. Friedl and Trisha K. Monesi of Capstone Law APC and Francis Flynn of the Law Office of Francis J. Flynn Jr.

The Uber Cancellation Fee Class Action Lawsuit is Julian Metter v. Uber Technologies Inc., Case No. 3:16-cv-06652, in the U.S. District Court for the Northern District of California.

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28 thoughts onUber Class Action Says Ride Cancellation Fees are Unfair

  1. Sharron says:

    I agree with Victoria’s comments this happened to me yesterday I was driving to pick someone up and then after 5 minutes they cancelled it was very frustrating and unfair. Especially when your almost there.

  2. Dennis Hamilton says:

    I drove for Uber and had this happen several times. I suck you lose money, waste gas with nothing in return

  3. Terry says:

    I drive for Uber and drove almost twenty miles for a pickup. When I got within 2 miles of the location they cancelled. This was way out in the country. I had to drive that distance back before I got another ride. DONT order the ride until you are READY to leave.

    1. Chury says:

      20 miles to pick up! That’s insane. I would cancel the request in a flash. I thought 3 miles is too far already.

  4. British says:

    I had a rider request just yesterday that I ended up waiting a total of 8 minutes on her to exit the establishment. I tried calling her several times but she did not pick up. I asked a guy standing out smoking to check and see if an Erika was in the bar. He did and said she would be out soon. I waited another 2 minutes after that and nothing. I canceled her as a no show.

    Therefore, I agree if the fee starts at time of acceptance it would make the rider less app to cancel the ride and for those lolly gagging to exit the house or establishment sooner. However, to protect the rider from driver abuse of route taken or slow arrivals, a discount should be added if the driver is excessively late from the estimated arrival time.

  5. Kim says:

    I think it would be more reasonable to charge a cancellation fee if it’s within an hour of pick up. If you canceled two weeks before, you’re not exactly using any drivetime, gas, or anything else. This happened to my boyfriend a few months ago. He canceled two weeks before his trip and was really only trying to get a rate

  6. felita hammond says:

    It’s very unfair considering what you go through to reach the rider. You get sidetracked by traffic as well as traffic lights. Riders are so inconsiderate and think you’re suppose to speed to pick them up.

  7. Rob says:

    It’s not just gas, it’s drivers time, wear and tear on vehicle etc. if you don’t need a ride it’s rather simple ….. Don’t order it in the first place. Without a gaurentee for the driver good luck getting picked up. I for one don’t work so that money comes out of my pocket, I’m sure you wouldn’t either.

    1. Chury says:

      Yep, I agree. It’s annoying and frustrating if you are on your way and riders cancel. Waste drivers’ precious time. Drivers do this full time, and every minutes counts. We don’t make easy money, unlike the techy guys who do little works and gets 100k/yr

  8. Selena says:

    Well it’s unfair to pay $5 for a service that you don’t utilize. I’m sure they did not drive out $5 worth of gas if I cancelled the Uber two minutes after ordering the service.

  9. Andrea kruza says:

    I was charged a cancellation and never cancelled, the driver arived but only stayed for a very short time then left me!

  10. Victoria says:

    Nothing more frustrating than driving quite a distance out of your way to only have rider cancel. I’ve had it happen a few times. This fee has really helped alleviate some of the frustration and extra expense us drivers have. It is necessary if they want to keep decent drivers.

    1. Recil says:

      I agree with victoria

    2. Sir says:

      I understand what you are saying, but as a rider I was charged a 5.00 cancellation twice when the drivers didn’t show up and what should have been a 3 min wait turn into a 50 min wait.

    3. Shawn says:

      On the other side of that coin. I had a driver that was a block away and then just started driving farther and farther away. I was charged a cancellation fee, even though the driver had no intention of actually picking me up. I then requested a different driver and they arrived as expected.

      1. Ken says:

        AGREED! With Uber pool, I expected a 5 minute wait, once it turned to 15 minutes, I attempted to cancel. BOOM, it was only then that I was informed of the mandatory cancellation fee. Totall unfair. I should be warned prior to, nor forced into waiting for a late driver.

    4. Ebony says:

      i totally agree with victoria

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