This Transportation Bill Provision Could Shield Uber and Lyft From Lawsuits
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Amust-pass congressional funding package for the nation’s roads, bridges, and public infrastructure includes an industry-friendly carveout that would give ride-hailing apps like Uber and Lyft legal immunity from car crashes and injuries, according to a review of the bill text by The Lever.
Drivers would be held individually responsible, rather than the apps, unless the platforms were found to be “grossly negligent” or engaged in “criminal wrongdoing,” a much higher bar for bringing lawsuits.
The insertion of this provision into the bill by federal lawmakers comes at a time when Uber is facing thousands of class action lawsuits for rampant sexual assault cases and other accident injuries. The company is also fighting a California ballot measure, favored by consumer advocates, that would firmly hold Uber and Lyft liable for accidents or injuries, among other passenger protections.
The ride-hailing apps Uber and Lyft spent more than $1 million combined lobbying Congress this past quarter on the surface transportation reauthorization bill, including on the “vicarious liability protection” provision, according to lobbying records.
The industry-backed amendment was introduced by Rep. Vince Fong (R-Calif.) and passed the House Transportation and Infrastructure Committee in a midnight vote at the end of May with support from one Democrat, New York Rep. Laura Gillen. The full funding package has not yet been scheduled for a full floor vote.
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“This 2 a.m. vote benefits Uber and its executives’ bank accounts, but it comes at the expense of riders who need Uber to have a deterrent to hiring shoddy drivers,” said Jamie Court, president of consumer advocacy group Consumer Watchdog, in a statement........
