Uber Sues Seattle Over Ordinance Regulating Worker Deactivation

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Moreover, Uber believes that protecting consumers from fraud and retaliation should take precedence over the requirement to provide deactivated workers with extensive documentation on the reasons for their removal, particularly when that information may be sensitive or confidential. The company argues that such demands could compromise its ability to safeguard consumers and prevent fraud.

Uber has raised concerns with the Seattle City Council and the city’s Office of Labor Standards about the ordinance since it was first introduced in August 2023. The company claims that the ordinance, as it stands, would lower its standards for safety, quality, and privacy. Despite these concerns, Uber asserts that it has received little guidance from the city regarding how the ordinance would be enforced and implemented, leaving the company uncertain about how to comply with the new regulations.

“Whatever objectives the City may have, it cannot pursue them in defiance of the First, Fourth, and Fourteenth Amendments and the Contracts Clause of the U.S. Constitution,” Uber wrote in its complaint. Uber is seeking to have a section of the ordinance that applies to companies like Uber with 250 or more app-based workers blocked, specifically targeting how companies manage deactivation processes.

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