The US court of appeals has accepted an appeal by online taxi ordering services Uber and Lyft, allowing companies to treat their drivers as independent contractors. As reported by the Associated Press (AP) on Thursday, the court decision scheduled for Friday to take effect, according to which Uber and Lyft are ordered to consider drivers of taxi services as full employees of the companies, was postponed.
According to the WP, the court's decision will provide companies with several more months to defend their business models in the primary market.
Earlier on Thursday, Lyft said That it was forced to suspend the operation of the online taxi ordering service in California from August 21 because of the reluctance to introduce the proposed scheme of payment for drivers of the service offered by the authorities of this American state.
In early August, the San Francisco County Superior court recognized Uber and Lyft drivers as full employees. Both online taxi ordering services were given ten days to appeal the court's decision.
The lawsuit against companies that provide taxi services was filed in early may by California Attorney General Javier Becerra and the authorities of the cities of Los Angeles, San Diego, and San Francisco. The plaintiffs noted that Uber and Lyft violated the law by pointing out that their drivers are independent contractors, not employees. They demanded that companies pay millions of dollars in fines, compensation to drivers, and abandon the practice of hiring them as independent contractors.