Uber, the popular ride-sharing company, has reached a settlement in a lengthy class action lawsuit. As a result, they have agreed to provide compensation to licensed taxi drivers in Australia. The payment amount totals 272 million Australian dollars, which is equivalent to approximately US$178.5 million.
Today, Maurice Blackburn, the plaintiff firm that initiated the case in 2019, declared that a groundbreaking agreement has been reached in the Uber class action, resulting in Uber being required to pay a staggering sum of 272 million Australian dollars. This settlement stands as the fifth-largest resolution in the history of Australian legal proceedings.
The trial scheduled for today in the Supreme Court of Victoria will not proceed due to this outcome. The Court will need to grant approval for the settlement, ensuring it aligns with the best interests of group members. Currently, efforts are underway to progress through this approval process.
The lawsuit alleged that individuals in the taxi, hire car, limousine, or charter vehicle industries suffered financial damages including loss of income and reduced license values due to Uber and its affiliated entities.
Uber entered the Australian market in 2012, but it operated without regulations for a considerable time until the Australian Capital Territory became the first jurisdiction to legalize the multinational enterprise in October 2015.
Uber stated that at the time of its inception over ten years ago, there were no ridesharing regulations in existence, including Australia.
The ride-sharing platform stated that Uber is now subject to regulations in all states and territories of Australia, with governments acknowledging its significance in the country’s transportation landscape.
Uber stated that by agreeing to the proposed settlement, they are resolving the past issues and shifting their focus towards providing a safe, affordable, and reliable transportation service for the millions of Australians who rely on Uber for their travel needs.
