Lyft paying 27M to settle driver classification suit
Lyft will pay $27 million to settle a class-action lawsuit with its California drivers. The showdown between ride-hailing service Lyft and its California drivers appears to have come to an end.
US District Judge Vince Chhabria gave final approval on Thursday to a $27 million settlement agreement for a class-action lawsuit between Lyft and more than 200,000 of its former and current California drivers, according to court filings .
This settlement seems to conclude the battle over how the ride-hailing company classifies its drivers. Under the agreement, the drivers will remain independent contractors, rather than be converted to employees.
"We are pleased the court has taken the final step and approved the settlement agreement which will preserve the flexibility of drivers to choose when, where and for how long they drive with Lyft," a company spokesman said in an email.