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Uber’s $100 million driver pay settlement rejected by judge

If the three-year-old lawsuit collapses, Uber would escape without any significant changes to its business model while keeping hundreds of thousands of California and Massachusetts drivers classified as independent contractors.

By Joel Rosenblatt | Updated on August 18, 2016
While acknowledging the risk a trial presents for both Uber and the drivers, Judge Chen rejected the deal as unfair. (Photo: iStock)

(Bloomberg) – Uber Technologies Inc. may come out ahead by failing to win court approval of a $100 million settlement with drivers.

Even before a San Francisco federal judge rejected the deal on Thursday, the drivers’ lawyer said the ride-hailing giant may have the upper hand to walk away from further negotiations because an appeals court hinted that it might overrule a key pretrial ruling in the fight over whether drivers must be treated as employees.

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