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USA: Appeals court grants Uber and Lyft extension to comply with order to reclassify drivers as employees

"Appeals court grants Uber and Lyft a temporary reprieve following threats to shut down in California", 20 August 2020

A California appeals court extended the length of time Uber and Lyft will have to comply with an order requiring them to reclassify rideshare drivers as employees. As a result, Uber and Lyft said they would continue operating in California during the stay after threatening to suspend service.

The temporary reprieve gives Uber and Lyft until 5 p.m. PT on Tuesday to file written statements agreeing to expedited procedures stated in the order...The lower court granted a 10 day stay on the preliminary injunction but rejected to extend it. That stay was set to expire at the end of the day Thursday...The stay will extend until Uber and Lyft’s appeals are resolved on the condition that they agree to a new timeline and procedure. If they do not, the stay will expire on Tuesday at 5 p.m. PT. One of those conditions is that the CEOs of Uber and Lyft both submit sworn statements on or before Sept. 4 confirming they’ve developed plans to comply with the preliminary injunction within 30 days of a ruling if the appeals court affirms the preliminary injunction and if Proposition 22, the ballot measure that would exempt the firms from AB5, fails to pass...Uber and Lyft are both backing a ballot measure, Proposition 22, that would exempt their ride-hailing and food delivery businesses from AB5 while providing for additional benefits for drivers. Voters will have the opportunity to decide on that question on Election Day.

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