Tech

Uber will pay $2.2 million to settle claims it overcharges people with disabilities


Uber is settling a Justice Department lawsuit alleging the company charge too much for people with disabilities. Car sharing companies have agreed pay at least $2.2 million to passengers who are charged for waiting time despite a disability that takes longer to get in the vehicle. The payment includes nearly $1.74 million to more than 1,000 riders who complained about the charges and $500,000 to “other injured individuals.” Uber will also offer credits to more than 65,000 people already exempted for the timeout fee, all of these people will receive double the timeout fee they were charged.

Uber introduced a waiting time fee in 2016, when it started charging customers an extra fee if the driver waited more than two minutes after arriving at the pick-up location. This causes people with disabilities to pay more than other passengers. The Justice Department alleges that this violated Title III of the Americans with Disabilities Act, which prohibits transportation companies from discriminating.

In a statement to Engadget, Uber said it was “satisfied” with the deal and maintained that it was “always working” to improve accessibility for users. It encourages customers to sign up for an exemption.

The agreement requires Uber to continue to offer waivers to all eligible passengers for two years. The Justice Department added that refunds would also be “easily available” to those without immunity. Uber has promised to advertise the waiver system, launching in 2021.

This arrangement may not please some critics. It indemnifies Uber against future claims related to waiting fees. The company has also faced many lawsuits about the lack of ADA-authorized wheelchair mobility – the agreement does not address those concerns. Even so, this could be a win for riders who have no choice but to pay the premium due to their disability.

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