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    California Sues Uber And Lyft For 'Cheating' Drivers And Taxpayers

    The state accuses the ride-hailing apps of flouting a labor law by classifying drivers as independent contractors instead of employees.
    by Shannon Bond May 05, 2020 2 minutes
    The lawsuit is the first big test of a new state law that poses a serious threat to the ride-hailing apps' business models.

    The state of California is suing Uber and Lyft for classifying their drivers as contractors instead of employees. The lawsuit is the first major test of a new state law intended to give gig workers more labor protections, including access to employer-sponsored health insurance.

    "Uber and Lyft both claim that their drivers aren't engaged in

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