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Uber misclassification class action settlement overturned in California

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The legal conflict between Uber and its drivers continues. In an earlier blog post, we discussed the proposed $100 million settlement offer in the class action lawsuit from Uber drivers against the company. The lawsuit claims that Uber is misclassifying its drivers as private contractors instead of employees, which limits their benefits and legal protections. Both sides agreed to the settlement. All that remained in the process was obtaining approval from the federal district courts in both Boston and Oakland.

Uber Almost Got Away Easy…Almost

According to a recent report in the NY Times, Judge Edward M. Chen of the Federal District Court for Northern California overturned the proposed settlement for being unfair and unreasonable. According to the Times, “He also said a small portion of the $100 million amount reflects only 0.1 percent of the potential full verdict value of the case.” Although $100 million seems like a lot of money, and it is, considering the number of drivers that work for Uber and how much their status as employees could be worth, this settlement offer is surprisingly low. This appears to be good news for Uber drivers. If the case does go through and they win, it will likely mean substantially more compensation for them. However, if they lose the case, they have already lost the opportunity for the settlement money and they would be left with nothing. This is just one more example of how important it is in cases like this to work with an attorney who has experience with both employment claims and class action litigation. If your rights are being violated at work in California, call a lawyer you can trust right away.

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Undisclosed
Settlement

TCPA class action against the Los Angeles Times. Final approval granted 2014.

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$750,000
Settlement

Common fund class-wide TCPA settlement against home healthcare provider. Final approval granted.

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$27.6M
Settlement

TCPA class action certified on behalf of approximately 2,000,000 class members under Rule 23(b)(2) and (b)(3). Subsequently settled on a Rule 23(b)(2) and (b)(3) basis. Final approval granted.

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$5.2M
Settlement

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Unruh Act class action on behalf of approximately 240,000 consumers challenging Tinder’s age-based differential pricing for its subscription service. Final approval granted; subsequently went up on appeal.

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$390,000
Settlement

TCPA class action alleging HD Supply sent unauthorized marketing text messages to consumers’ mobile phones without consent between October 21, 2011 and July 26, 2017. Presided over by Judge Fernando M. Olguin. Case terminated January 29, 2018.

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$1,500,000
Settlement

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TCPA class action against a Kansas-based payday lender alleged to have contacted consumers via prerecorded calls on their cell phones to collect alleged debts without consent. California federal judge granted final approval.

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$6,500,000
Settlement

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Cal. Penal Code § 632.7 class action certified by contested motion under Rule 23(b)(2) and (b)(3) on behalf of over 40,000 class members whose calls were recorded without their knowledge or consent. Final approval granted.

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$13,000,000
Settlement

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$13 Million Class action alleging HSBC recorded consumer telephone calls without knowledge or consent in violation of California’s Privacy Statute (Penal Code § 632.7). California Federal Judge granted final approval.

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$34,000,000
Settlement

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One of the largest TCPA class action settlements in U.S. history at time of approval. Alleged Chase used an automatic telephone dialing system to contact consumers on their cell phones without prior express consent from July 2008 through December 2013. Settlement class included over 32 million members. Final approval granted March 2016.

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$150,000,000
Settlement

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Class action on behalf of over 100,000 owners of GM vehicles equipped with allegedly defective LG-manufactured batteries posing fire and safety risks. Litigation commenced December 2020. U.S. District Judge Terrence G. Berg indicated preliminary approval of the $150 million settlement.

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$100,000,000
Settlement

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Landmark gig-economy class action. DoorDash drivers in California and Massachusetts alleged they were wrongly classified as independent contractors rather than employees. Firm served as class counsel. Final approval granted January 13, 2022 — the largest gig-economy worker class settlement in U.S. history at the time.

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