Lyft is suing the city of San Francisco.

The ride-hailing company is claiming San Francisco unfairly charged it over $100 million in taxes, Bloomberg reports. The lawsuit alleges that, over the course of five years, San Francisco unfairly labeled money earned by Lyft drivers as company revenue.

In the complaint, Lyft maintains that its drivers are its customers, not employees. “Accordingly, Lyft recognizes revenue from rideshare as being comprised of fees paid to Lyft by drivers, not charges paid by riders to drivers,” the complaint reads.

The lawsuit is just the latest chapter in a debate over how gig economy apps should classify drivers. Last summer, the California Supreme Court upheld Proposition 22, which allows those companies to classify drivers as independent contractors.

Image Credits: David Paul Morris/Bloomberg via Getty Images

#TechCrunch #technews #lyft #uber #gigeconomy #sanfrancisco
Lyft is suing the city of San Francisco. The ride-hailing company is claiming San Francisco unfairly charged it over $100 million in taxes, Bloomberg reports. The lawsuit alleges that, over the course of five years, San Francisco unfairly labeled money earned by Lyft drivers as company revenue. In the complaint, Lyft maintains that its drivers are its customers, not employees. “Accordingly, Lyft recognizes revenue from rideshare as being comprised of fees paid to Lyft by drivers, not charges paid by riders to drivers,” the complaint reads. The lawsuit is just the latest chapter in a debate over how gig economy apps should classify drivers. Last summer, the California Supreme Court upheld Proposition 22, which allows those companies to classify drivers as independent contractors. Image Credits: David Paul Morris/Bloomberg via Getty Images #TechCrunch #technews #lyft #uber #gigeconomy #sanfrancisco
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