Following Uber's Lead, Lyft Ends Mandatory Arbitration for Sexual Assault Claims
Lyft also will end requirements that those who make #MeToo-type claims keep quiet about their stories.
May 15, 2018 at 02:35 PM
2 minute read
Ride-hailing company Lyft Inc. has ended forced arbitration for sexual assault cases brought by passengers, drivers and employees, following an announcement earlier Tuesday that competitor Uber Technologies Inc. has done the same.
In addition to taking away forced arbitration, San Francisco-based Lyft said in a statement Tuesday that passengers, drivers and employees who say that they have been victims of sexual assault will also no longer face a confidentiality requirement.
Many ride-hailing companies, including both Lyft and Uber, have faced criticism for failing to protect riders from sexual assaults committed by drivers.
“Lyft has a long-standing track record of action in support of the communities we serve, from our commitment to the [American Civil Liberties Union] to standing up for pay equity and racial equality,” the company said in a statement.
“The #MeToo movement has brought to life important issues that must be addressed by society, and we're committed to doing our part,” the statement said. “Today, 48 hours prior to an impending lawsuit against their company, Uber made the good decision to adjust their policies. We agree with the changes and have removed the confidentiality requirement for sexual assault victims, as well as ended mandatory arbitration for those individuals so that they can choose which venue is best for them.”
Uber and Lyft are the first major ride-hailing companies to tear down mandatory arbitration rules, but they're not the first tech companies to implement such a policy change. Microsoft Corp. announced in December that it would get rid of mandatory arbitration agreements for employees who make sexual harassment claims.
And in the age of #MeToo, even more companies and their legal departments could soon follow.
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