03:02 PM EDT, 06/10/2024 (MT Newswires) -- (Updates with details starting in second paragraph)

Uber Technologies ( UBER ) , Postmates and two individuals challenging the constitutionality of a California law that requires the companies to treat gig workers as employees rather than independent contractors lost their bid in a ruling Monday by the US Court of Appeals for the 9th Circuit.

The plaintiffs had argued in a lower court that California Assembly Bill 5, which became law in 2020, unfairly singled out app-based transportation companies.

An 11-judge panel in San Francisco concluded that the plaintiffs didn't provide enough evidence for that assertion and upheld the lower court's ruling dismissing the challenge.

Uber ( UBER ) didn't immediately respond to a request for comment from MT Newswires.

Shares of Uber ( UBER ) fell 0.7% in recent trading Monday.

Price: 68.83, Change: -0.48, Percent Change: -0.70