KEY TAKEAWAYS
- Uber Technologies reportedly will pay $272 million Australian dollars ($178 million) to settle a class-action lawsuit brought by thousands of Australian taxi drivers.
- The Australian lawsuit, filed in 2019, was on behalf of more than 8,000 taxi and hire-car owners and drivers who alleged they lost income when Uber entered the market.
- Uber declined to comment on specifics of the settlement until the agreement is finalized.
Uber Technologies Inc. ( UBER ) reportedly will pay $272 million Australian dollars ($178 million) to settle a class-action lawsuit brought by thousands of Australian taxi drivers, who allege they lost income when the ride-sharing company entered the country.
The Australian lawsuit, filed in 2019, was on behalf of more than 8,000 taxi and hire-car owners and drivers who lost income and license values when Uber moved into the Australian market, according to The Wall Street Journal , which cited the law firm representing the drivers.
The law firm, Maurice Blackburn Lawyers, called it a “historic world-first class action settlement,” the Journal said.
“Since 2018, Uber has made significant contributions into various state-level taxi compensation schemes, and with today’s proposed settlement, we put these legacy issues firmly in our past,” Uber said in a statement.
The ride-hailing app said that while it has reached an in-principle settlement, it “would be inappropriate to comment on specifics until the agreement is finalised and the settlement is disclosed to the court.”
Shares of Uber were down 1.5% at $74.89 as of 10:14 a.m. ET Monday but have gained more than 28% in 2024.