Judge Rejects $12M Lyft Class Deal That Shortchanges Drivers

Law360, Washington (April 7, 2016, 1:05 PM EDT) -- A California federal judge on Thursday rejected a proposed $12.25 million settlement in a class action Lyft drivers had brought against the ride-hailing company, saying the lackluster nonmonetary relief offered to the drivers did not compensate for a severely lacking money award.

U.S. District Judge Vince Chhabria said the proposed class had miscalculated what the drivers were owed for mileage reimbursement — a major figure used in calculating the settlement amount. The $12.25 million figure had been reached from a working assumption that the drivers' mileage reimbursement claim was worth $64 million, but by the class' own methodology, that number was...

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