![]() ![]() ![]() In 2021, Lyft reported that it had received more than 4,000 reports of sexual assault from its US users from 2017 to 2019, and Uber said users reported more than 3,000 cases of sexual assault on its platform from 2017 to 2018. In 2020, an Illinois court ruled Lyft was not liable for a driver who sexually assaulted a female passenger at knifepoint because ride-hailing companies were not considered common carriers under the law, even though the plaintiff alleged that the driver "had been hired as a Lyft driver despite his criminal history, including charges of theft, driving under the influence, and possession of weapons." Moreover, the exemption has protected ride-hailing companies in even more extreme cases. He added, "The taxi cab industry in Chicago's been decimated." By 2017, revenue fell by 40% over the previous three years, and 42% of Chicago cabs weren't even operating. "They've now essentially crushed the competition." Salvi said Illinois exempted ride-hailing companies from the state's common-carrier civil-liability doctrine in 2015 to "allow them to come to market" and "give them an ability to compete." ![]() It would then be up to a court whether to hold the company liable based on the proof. Being a common carrier means if a taxi driver tried to beat a yellow light and crashed, the passengers could sue the cab company, arguing that the company exercised enough control over its drivers to be held liable for the harm done, he elaborated. The Illinois bill would define ride-hailing companies like Uber and Lyft as "common carriers" like taxi and bus operators, opening them to further liability in the event of accidents or other situations in which passengers are harmed, Salvi said. Lyft is sitting out the fight while Uber pushes for exemption from the law Neither Uber nor Lyft responded to requests for comment. A California judge ruled the referendum unconstitutional, and an industry-backed PAC is appealing the decision. The companies spent nearly $110 million supporting a 2020 referendum - which California voters ultimately passed - to keep drivers as independent contractors. In 2020, Uber and Lyft threatened to suspend service in California after a judge ruled they had to reclassify their drivers as employees instead of independent contractors based on state law. This isn't the first time the ride-hailing giants have pushed back against tighter regulations. Uber is "hinting at the possibility that they'll leave or have less drivers available in the event this bill passes, and that's going to be problematic for politicians that want to keep their voters happy." "These letters are somewhat veiled threats," Salvi added. The Illinois Trial Lawyers Association, the left-leaning consumer-protection group behind the bill, has dismissed the concerns as part of an Uber "pressure campaign" to get the state legislature or the governor "to not pass this bill or sign this bill," Patrick Salvi II, the ITLA's president, told Insider. Separately, according to the Chicago Tribune, Gold wrote to the newly inaugurated Democratic mayor of Chicago, Brandon Johnson, to warn that "less drivers and fewer trips means the city could lose tens of millions of dollars in projected revenue from ride-share taxes." On extremely busy days, like during the convention, there might not be enough drivers to meet rider demand at all." "Fewer drivers may mean higher wait times and less reliability. ![]() The law "could lead to new barriers or eligibility requirements for drivers, which could in turn lead to fewer drivers on the road," Gold said. Account icon An icon in the shape of a person's head and shoulders. ![]()
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