Misclassification Class Action

News & Analysis as of

InterConnect FLASH! No. 55 - Disruptors Continue to Create Challenges for the Independent Contractor Business Model

Disruptors Continue to Create Challenges for the Independent Contractor Business Model - Our increasingly on-demand, technology-driven economy has been a petri dish for disruptive business models that are responsible...more

Gig Employer Heartburn: Challenge to GrubHub’s Classification System Continues

A putative class action case, alleging that online food delivery service GrubHub misclassified its drivers, has survived a motion to dismiss and will proceed in California federal court. Noting that GrubHub’s view of the...more

June 2016 Independent Contractor Misclassification and Compliance News Update

The poster children of IC misclassification cases dominated the news in June: Uber, Lyft, GrubHub, FedEx, an exotic dance club, and a trucking transport company. It was not a good month for any of them, yet as we have...more

$240 Million Settlement Closes Chapter on FedEx IC Misclassification Lawsuits

FedEx yesterday announced that it reached a settlement of its remaining independent contractor class action lawsuits in 20 states with its Ground Division drivers for $240 million, pending court approval. Coming on the heels...more

The Fourth Bite at the Apple Uncovers a “Worm” for Duane Reade

Just last week, we offered a web training to our clients highlighting the continuing challenges faced by employers as they strive to comply with state and federal wage and hour laws. A June 9th decision by New York District...more

The Purge: Gig Economy

The year is 2020. In a futuristic America plagued by employment lawsuits, the federal government sanctions a three-year period in which all gig economy companies are exempt from labor and employment laws. Internet-based...more

May 2016 Independent Contractor Misclassification and Compliance News Update

TELECOM SALES AND MARKETING AGENTS GAIN CERTIFICATION IN IC MISCLASSIFICATION CLASS ACTION. A New York federal district court grants conditional certification of a proposed FLSA nationwide collective action brought against...more

Uber Settlement Under Fire, As Named Plaintiff, Others Object

In a development one does not see everyday, named Plaintiff Douglas O’Connor has submitted a declaration blasting the settlement reached in the litigation bearing his name: O’Connor et al. v. Uber Technologies, Case No....more

Be Uber Prepared To Do Business In The Gig Economy

Until recently, the word “gig” had two common meanings: - ..A live music performance; and - ..A long trident used to hunt swamp-dwelling amphibians - However, a noted linguist recently crowned “gig” as the...more

California Employment Law Notes - May 2016

Employee Who Needed To Assist Disabled Son Could Proceed With "Associational Disability Discrimination" Claim - Castro-Ramirez v. Dependable Highway Express, Inc., 246 Cal. App. 4th 180 (2016) - Luis...more

What the Uber Settlement Means for Irish/NI Companies Operating in the US

Uber recently settled—for US$100 million—two class-action cases involving some of its drivers, and one of the issue points in the litigation was whether Uber drivers are independent contractors or employees under relevant US...more

April 2016 Independent Contractor Misclassification and Compliance News Update

This past month involved the settlement of a number of high profile IC misclassification cases. In one case, a federal court gave conditional approval to a $226 million settlement between FedEx and its Ground Division...more

What The $100M Uber Settlement Means To All Employers

The ride-sharing company Uber recently announced a preliminary $100 million agreement to settle claims alleging that it improperly classifies its workforce as independent contractors. Because the settlement involves the...more

Uber Drivers to Remain Independent Contractors…For Now

Uber, the independent taxi service where you can “drive your car and be your own boss,” has long attracted controversy for classifying its drivers as independent contractors and not employees. Class-action lawsuits claiming...more

Uber Class Action Settlement Faces Objections from Plaintiffs’ Lawyers

Uber’s recently announced $100 million settlement to resolve the O’Connor v. Uber Technologies, Inc. class action, in which plaintiffs sought an order deeming them employees, rather than independent contractors, already faces...more

Uber Aims to Settle Two Class Actions; Approximately 385,000 Uber Drivers in California and Massachusetts to Remain Independent...

Last Thursday, Uber settled two closely-watched class actions contesting Uber’s classification of approximately 385,000 drivers in California and Massachusetts as independent contractors as opposed to employees. While the...more

Uber Tries to “Lyft” Itself Out of Two Independent Contractor Misclassification Lawsuits By Settling for Up To $100 Million – But...

Only two weeks after a federal court judge in California rejected a proposed $12.25 million independent contractor misclassification settlement between Lyft and its drivers in California because it “shortchanged” the drivers...more

Recent Decisions in Class Actions Mixed Bag for Uber, Lyft

It was a mixed bag on the litigation front for Uber and Lyft last week following a string of decisions in class action lawsuits against these companies. On Tuesday, April 5, the Ninth Circuit granted Uber’s petition to...more

March 2016 Independent Contractor Misclassification and Compliance News Update

The cases reported in this update continue to reflect the fact that IC misclassification cases cut across virtually all industries. Below are IC misclassification cases from such diverse industries as insurance, ride-sharing,...more

Opposition to Lyft’s $12.25 Million Independent Contractor Misclassification Settlement May Cause Court to Nix the Deal

Papers were filed in court today formally opposing the deal that Lyft agreed to with the lawyers representing over 100,000 Lyft drivers in their class action brought in the federal court in San Francisco. The objectors were...more

February 2016 Independent Contractor Compliance and Misclassification News Update

In February 2016, two federal appellate courts ruled in favor of companies in IC misclassification cases: one where the NLRB was reversed in a decision where the agency had found stagehands to be employees and not ICs; the...more

Lyft Multi-Million Dollar Settlement Leaves Classification Question Unsettled

prykhodov © 123RF.com Ride-Sharing service Lyft agreed to pay $12.25 million and provide drivers with certain additional workplace protections as settlement of a proposed class action lawsuit filed in California brought by...more

Uber and Lyft Choose Different Routes in Navigating Legal Challenges

The future of ride-sharing companies has hung in the balance for more than two years while class actions and labor complaints were pending against industry giants Uber, Lyft and others. The ride-sharing companies have...more

Chebotnikov v. LimoLink, Inc.: a Cautionary Tale Concerning the Use of Forum-Selection Clauses

At the end of last year, a federal court in Massachusetts found that a forum selection clause in an Iowa company’s standard form service-provider agreement did not apply to claims asserted under the Fair Labor Standards Act...more

Fourth Circuit Says Insurance Investigators Do Not Qualify for Overtime Exemption

Property and liability insurance carriers typically employ inspectors whose jobs involve investigations in support of their claims adjustment functions. Last month, the Fourth Circuit Court of Appeals (which includes North...more

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