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Uber sues New York City over 'reckless' driver protection law
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Uber sues New York City over 'reckless' driver protection law
Jun 10, 2026 9:31 AM

* Uber ( UBER ) says New York City law shields dangerous drivers and

fraudsters.

* Law slated to take effect on July 28

* New York City reviewing Uber's ( UBER ) complaint

* Uber ( UBER ) faces 3,571 lawsuits over driver conduct

By Jonathan Stempel

NEW YORK, June 10 (Reuters) - Uber Technologies ( UBER )

sued New York City to block enforcement of a new law that it

said would unconstitutionally force it to keep drivers it does

not want on its platform.

In a complaint filed late on Tuesday night, Uber ( UBER ) said the

law against "wrongful deactivations" would improperly shield

drivers who engage in dangerous, threatening or other

inappropriate behavior, threatening public safety and causing

"immediate and irreparable harm" by undermining the company's

reputation and goodwill.

It said the law violates its free-speech and due-process

rights under the U.S. Constitution, as well as New York's state

constitution. Uber ( UBER ) is seeking a permanent injunction plus costs.

A spokesman for New York City's law department said on

Wednesday it is reviewing the complaint, which Uber ( UBER ) filed in

Manhattan federal court.

Local Law 52 of 2026 would generally prevent large ride-sharing

companies such as Uber ( UBER ) and Lyft ( LYFT ) from dismissing drivers

absent a "bona fide economic reason" or "just cause."

Dismissals would be permitted for account sharing, fraud,

and "egregious misconduct" such as violence, sexual harassment

or assault, and discrimination.

The law is slated to take effect on July 28, following a

46-5 City Council vote in January.

UBER WARNS OF 'KANGAROO' PROCEEDINGS

Uber ( UBER ) objected to being required to give 14 days' notice

before deactivations, saying this gave drivers a window for

"retaliation" against passengers, and having to potentially

rehire drivers from as early as 2019 who did not receive such

notice.

It said the law violates passengers' privacy by requiring

they disclose reports of alleged abuse to accused drivers.

The San Francisco-based company also accused New York City

of encouraging "kangaroo" proceedings requiring judges,

arbitrators and Department of Consumer and Worker Protection

officials to assume that deactivations are unjust, and shifting

the burden to Uber ( UBER ) to prove otherwise.

"We are suing New York City to block a reckless new law that

seeks to strip our ability to immediately remove potentially

dangerous drivers and fraudsters from our platform, creating an

immediate threat to public safety," Uber ( UBER ) said in a statement.

As of June 1, Uber ( UBER ) faced 3,571 lawsuits in nationwide litigation

in San Francisco federal court accusing drivers of sexual

misconduct.

Lyft ( LYFT ) did not immediately respond to requests for comment on

its legal plans.

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