Uber to Pay $20 Million to Settle FTC Charges on Earnings Claims for Drivers – WSJ (Jan 19, 2017)

Uber has often been willing to flout regulation in order to stake a foothold in a market, at which point it typically turns its customers into advocates and makes arguments about the contribution it’s making to the local economy in a bid to win formal approval from local authorities. This case brought by the FTC alleged that Uber had exaggerated those benefits significantly – it claimed NYC Uber drivers earned a median income of over $90,000, but the FTC found that under 10% of drivers earned that much, for example. Because Uber settled the case without admitting formal wrongdoing, there is no legal confirmation here that Uber lied, but that almost doesn’t matter. To the extent that Uber gets a reputation (accurate or otherwise) for lying about its economic benefits, its whole “better to ask for forgiveness than permission” strategy starts to break down.

via Uber to Pay $20 Million to Settle FTC Charges on Earnings Claims for Drivers – WSJ

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• Uber

• Lawsuits
• Regulation
• Ride sharing

• Uber Flouts Regulation

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