Lyft and Uber Sue New York City Over New Driver-Protection Law

Lyft filed a lawsuit in Manhattan federal court late Wednesday challenging Local Law 52 of 2026, one day after Uber filed a similar complaint in the same court. Both companies seek to prevent the measure from taking effect on July 28. " The New York City Council passed the measure by a 46-5 vote in January and later overrode former Mayor Eric Adams' veto.

Lyft and Uber both objected to requirements that they give drivers 14 days' notice before letting them go. They also objected to potentially rehiring drivers deactivated since 2019 solely because they did not receive 14 days' notice. The companies further objected on privacy grounds to requiring passengers to detail alleged misconduct to accused drivers.

They also objected to a heightened burden of proof when defending against drivers who challenge their deactivations in court or arbitration. U.S. Constitution, as well as New York's state constitution.

Uber is seeking a permanent injunction plus costs. " As of June 1, Uber faced 3,571 lawsuits in nationwide litigation in San Francisco federal court accusing drivers of sexual misconduct. Lyft faced 54 such lawsuits in the same court.

Both companies are based in San Francisco. A spokesman for New York City's law department said on Thursday it is reviewing both lawsuits.