Class action lawsuit alleges that Uber intentionally overcharges passengers

Business / Tech
Uber

This is the second such class action suit in as many months.

Uber has been getting a lot of attention lately, and almost none of it has been flattering. The latest is a class action lawsuit that claims they intentionally overcharge passengers — $7.4 million per month in NYC alone — by way of their ride cost estimates. This is the second such class action suit in as many months, with the first coming from angry California residents in April.

The heart of the suit lies with Uber’s “Upfront” pricing estimate. This estimate allows riders to get an idea of the final cost before booking a ride. The suit alleges that this estimate is based on a longer and less efficient route than what it displays to its drivers. The difference is then kept by Uber. Not only does this cost customers more, but it means Uber is paying its drivers less because the more efficient route would mean a lower rate for the driver.

This suit was announced only a day after the company fessed up to shorting New York drivers millions in commissions, which was already pretty shady, but then they doubled down by only committing to pay back “some” of what the drivers were owed. Add that to the alleged celebrity, politician, and ex-boyfriend/girlfriend stalking as well as the “Greyball” software intended to thwart regulators, to, oh, just a little flap with Waymo, and Uber hasn’t exactly had the best reputation as of late.

Have you used Uber in NYC? Do you feel as though this class action lawsuit is a good idea? Tell us what you think in the comments below or on Google+, Twitter, or Facebook.

  Source: NBC News
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