As of mid-2025, Uber faces over 2,300 lawsuits in federal multidistrict litigation (MDL), plus hundreds more in state courts, alleging it failed to protect riders from sexual assault. At the core is whether Uber can be held liable for drivers it classifies as independent contractors, despite more than 400,000 reports of misconduct from 2017–2022.
Independent Contractor Model Under Fire
Uber avoids employee obligations by labeling drivers as contractors, but courts are questioning whether its control over pricing, routes, and suspensions makes drivers de facto employees. California’s AB 5 sought to mandate employee status, but Proposition 22 carved out an exception, upheld by the California Supreme Court in 2024. The ruling secured Uber’s business model, but left the broader liability question unsettled.
Common Carrier and Duty of Care
Plaintiffs argue Uber functions as a common carrier, which would impose a heightened duty to protect passengers. If courts agree, Uber could face liability for assaults even without an employment relationship, significantly expanding its exposure.
Negligence, Misrepresentation, and Safety Gaps
Beyond classification, claims highlight Uber’s alleged failure to act on known safety risks. Though it developed risk-based algorithms and in-car safety tools, it declined to implement them widely. Plaintiffs also cite misleading marketing, such as “Safe Ride Fees”, as negligent misrepresentation that created a false sense of security.
Transparency and Sealed Data
Uber ended mandatory arbitration for sexual misconduct cases in 2018, opening the door to litigation. Yet critics say the company still withholds key safety data. Recent rulings requiring unsealing of court records may further shape public perception and jury attitudes.
Broader Implications
The litigation underscores the fragility of liability shields in the gig economy. Even with contractor status intact, Uber’s operational control and branding may expose it to duties traditionally reserved for employers or carriers. As bellwether trials begin in late 2025, Uber could face major settlements and reputational fallout. More broadly, these cases may redefine how accountability applies to gig platforms across industries.
Conclusion
Uber’s ongoing litigation is more than a corporate crisis, it’s a warning for all businesses built on contractor models, consumer trust, or platform-based services. Worker classification, duty of care, and transparency are under sharper scrutiny than ever, and the outcomes could ripple far beyond Uber.
If your company operates in the gig economy, transportation, or service industries, now is the time to review your risk exposure and compliance strategies, we can help you. Contact a member of our team today.
Contribution to this blog by Emily O’Neill.
