Dec 22, 2024 | Updated: 11:35 AM EDT
Apr 25, 2017 03:10 PM EDT
Latest updates reveal that Uber is currently faced with a fresh lawsuit. According to reports, a former Lyft driver has filed a class-action lawsuit against Uber for a program that is allegedly used to track the competition, which the company calls "Hell."
It is reported that the plaintiff named Michael Gonzales, was a driver for Lyft during the period of time Uber allegedly used the software. The lawsuit claims that Uber utilized "Hell" in tracking Lyft drivers. Reports have it that Uber uses the software to see how many Lyft drivers were available to give rides, and at what cost.
The program also allows the company to determine if a person was driving for both Uber and Lyft. According to Fortune, the program also has to do with creating fake Lyft driver accounts, which enables Uber to see the information and locations of almost eight other nearby Lyft drivers. Recent reports suggest that "Hell" could give Uber access to what can be referred to as a map of all Lyft drivers.
Meanwhile, the lawsuit alleges that Uber used the said program to track Lyft drivers for almost three years - from 2014 to 2016. Gonzales has now filed the class-action lawsuit against Uber in the United States District Court for the Northern District of California. In their statement of claim, the plaintiffs argue that "Hell" is the perfect definition of engaging in unfair competition.
According to TechCrunch, they added that Uber invaded the privacy of the Lyft drivers with "Hell" and filed complaints on four counts including violation of the California Invasion of Privacy Act, Federal Wiretap Act, Electronic Communications Privacy Act and violation of California's Unfair Competition Law. Gonzales seeking $5 million for the breach.
"Uber accomplished this by incentivizing drivers working on both platforms to work primarily for Uber, thereby reducing the supply of Lyft drivers which resulted in increased wait times for Lyft customers and diminished earnings for Lyft drivers," according to the lawsuit. It is reported that Uber is yet to comment on the existence or otherwise of "Hell." Uber is now legally required to respond to the suit within 21 days.
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