Uber faces a growing number of legal troubles these days – the latest involves a court settlement of $7.5 million for background checks.
Uber has agreed to pay the $7.5 million sum to a group of San Francisco drivers alleging the company acquired consumer background reports without asking them first.
Uber also agreed to pay $100 million to San Francisco and Massachusetts drivers in April and faces a nation-wide class-action lawsuit as well as a lawsuit from the New York Taxi Workers Alliance. And those are just some of the legal issues in the U.S.
Uber faces mounting legal troubles all over the globe right now. Travis Kalanick, Uber’s CEO and co-founder, might chalk some of that up to the price you pay for disruption but the drivers obviously see it a different way in this case and others.
An Uber spokesperson was not available for comment on this latest case, and neither were the lawyers representing the drivers.
However, the lawyers representing the drivers in this background checks case have filed a memorandum of understanding in court today and are reportedly in the process of drafting a formal settlement.
Uber seems eager to settle all these lawsuits as fast as possible as it continues to hemorrhage mountains of cash globally. Uber is burning $1 to $2 billion annually in China alone, according to some reports. Kalanick told Canadian publication Betakit in February Uber was profitable in the U.S.
The rideshare company recently raised $2 billion in leveraged loan debt and another $3.5 billion from Saudi Arabia recently to continue its quest for world domination and all the legal troubles sure to follow.