NJ Woman Claims Lyft Lies to Drivers About What Riders Are Charged

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A proposed class action lawsuit filed in New Jersey claims Lyft is not entirely truthful to drivers about how much it actually charges riders to use the service. The 16-page lawsuit alleges that despite promising to pay drivers roughly 75 to 80 percent of the total fare for a ride (with the rest going to Lyft as a commission), Lyft instead charges riders a higher fare than that relayed to drivers, with the company pocketing the rest of the money. From the lawsuit (emphasis ours):

The plaintiff, a Long Branch, New Jersey driver who’s worked for Lyft since 2016, claims her understanding of the ridesharing platform’s terms of service meant she would be paid “an amount equal to” the fare riders pay, minus the 20 or 25 percent Lyft takes as a commission. However, the case argues a discrepancy exists between what riders are charged and what drivers are paid that Lyft actively conceals from proposed class members.

The complaint goes on to note the plaintiff has notified Lyft that she has opted out of the arbitration clause included in the “Dispute Resolution and Arbitration Agreement” section of the company’s terms of service, thereby allowing her to bring this complaint.