Wednesday, December 10, 2014
Los Angeles Sues Uber Over Background Checks, Advertising
Los Angeles has joined with San Francisco to sue on-demand ride service Uber, alleging that the company's background checks are "completely worthless", because the company--although it conducts background checks--does not fingerprint its drivers. According to the Los Angeles County District Attorney's office, they have filed a lawsuit against Uber for making false and misleading statements to consumers. In a related move, the LA attorney's office said it has settled with Lyft over similar issues, with Lyft agreeing to not make misleading statements about its background checks and to submit its app for evaluation of accuracy to the California Department of Agriculture's Division of Measurement Standards. The LA District Attorney said that Uber is accused of making untrue or misleading representations regarding the quality of background checks it performs on drivers, unlawfully having its drivers work at airports across the state without obtaining authorization from airport officials and fraudulently charging a $4 "airport fee toll" to customers traveling to and from San Francisco International Airport even though Uber drivers weren’t paying anything to the airport.