Uber Primed For Hard Fight After $100M Labor Deal Rejected

Law360, New York (August 19, 2016, 7:22 PM EDT) -- A California federal judge’s rejection on Thursday of a proposed $100 million class action settlement for Uber drivers allegedly stiffed on tips and work expenses may discourage the ride-hailing giant from sweetening the deal, instead prompting it to aggressively step up its defense of its independent-contractor business model, experts say.

U.S. District Judge Edward M. Chen’s refusal to preliminarily sign off on the $100 million deal — $84 million of which was a lock for drivers while the rest was contingent on the ride-hailing giant launching a successful initial public offering — hampered Uber Technologies Inc.’s efforts to nip high-stakes labor...

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