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Appellate - 1st Circuit
4790 Other Labor Litigation
Postmates Inc. delivery drivers can't duck arbitration and advance their worker classification fight as a proposed class because they are not engaged in interstate commerce, the First Circuit said.
A First Circuit panel on Wednesday was hesitant to accept arguments that Postmates and Grubhub delivery drivers are engaged in interstate commerce and exempted from arbitration simply because they pick up items that were delivered to a store from out of state and take them to their final customers.
Postmates Inc. urged the First Circuit to uphold a ruling that local delivery drivers are not engaged in interstate commerce and are bound to arbitrate claims they were misclassified as independent contractors.
A Massachusetts federal court erroneously ruled that an arbitration exemption didn't apply to three Postmates couriers' misclassification claims and used out-of-circuit cases to reach that conclusion, the workers said Wednesday, urging the First Circuit to reverse the decision.