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from the always-read-the-fine-print dept.
Submitted via IRC for SoyCow1937
Uber is fighting a proposed class-action lawsuit that says it secretly over charges riders and under pays drivers. In its defense, the ride-hailing service claims that nobody is being defrauded in its "upfront" rider fare pricing model.
The fares charged to riders don't have to match up with the fares paid to drivers, Uber said, because that's what a driver's "agreement" allows.
"Plaintiff's allegations are premised on the notion that, once Uber implemented Upfront Pricing for riders, it was required under the terms of the Agreement to change how the Fare was calculated for Drivers," Uber said (PDF) in a recent court filing seeking to have the class-action tossed. "This conclusion rests on a misinterpretation of the Agreement."
The suit claims that, when a rider uses Uber's app to hail a ride, the fare the app immediately shows the passenger is based on a slower and longer route compared to the one displayed to the driver. The rider pays the higher fee, and the driver's commission is paid from the cheaper, faster route, according to the lawsuit.
Uber claims the disparity between rider and driver fares "was hardly a secret."
"Drivers," Uber told a federal judge, "could have simply asked a User how much he or she paid for the trip to learn of any discrepancy."
(Score: 4, Informative) by maxwell demon on Thursday September 21 2017, @05:00AM (1 child)
A market without any regulation is known as black market.
The Tao of math: The numbers you can count are not the real numbers.
(Score: 2) by FakeBeldin on Thursday September 21 2017, @10:02AM
From Wikipedia [wikipedia.org].
While a black market is a deliberate circumvention of existing regulation (and thus has less regulation, perhaps none), this does not imply that any market without regulation must necessarily be black. The old "all cows have four legs, but not everything with four legs is a cow" thing. (was explaining that superfluous?)