Can you Sue Lyft for Wrongful Termination?

Can you Sue Lyft for Wrongful Termination?

After Uber, Lyft became the second most popular ridesharing app.

Like Uber, Lyft initially classified its drivers as independent contractors, not employees.

This meant drivers lacked benefits and protections.

After a lawsuit, the California Supreme Court ruled drivers should be considered employees, ensuring their state benefits and protections.

Now, Lyft can’t fire drivers without good reason.

An image illustrating if You Can Sue Lyft for Wrongful Termination
Can you Sue Lyft for Wrongful Termination
Source: (Freepik)

What’s the Difference Between Independent Contractors and Employees?

The gap between independent contractors and employees might not seem significant at first glance.

You work, you get paid – simple, right? But that’s not entirely accurate.

For drivers, this difference is huge. Independent contractors run their businesses, while employees work for someone else’s business.

Being classified incorrectly can lead to serious consequences, especially in accidents or job termination.

Unlike independent contractors, employees enjoy protections and benefits, which labor advocates fought for.

These include:

Discrimination Laws:

Employers can’t discriminate based on factors like race, gender, nationality, disability, or religion. Workers are protected from discrimination and harassment.

Wages and Hour Laws:

Employees have rights to minimum wage, overtime pay, meal breaks, and reimbursement for business expenses.

Workers’ Compensation:

If an employee is injured at work, they’re entitled to compensation for medical bills and lost wages during recovery.

Implications for Lyft Drivers

With Lyft drivers now being classified as employees, they have the right to pursue legal action if they’re wrongfully terminated.

Wrongful termination occurs when an employer breaches the terms of a contract or violates federal or state employment laws by terminating an employee’s contract or employment.

If you suspect you’ve been wrongfully terminated, it’s crucial to reach out to our law firm promptly.

The statute of limitations for filing a lawsuit against your employer is 300 days from the last discriminatory incident.

Failure to file within this timeframe forfeits your right to seek compensation for damages.

Therefore, if you’ve faced wrongful termination as a Lyft driver, contacting our labor law attorneys promptly is essential.


Employers are prohibited from making employment decisions based on protected characteristics such as race, gender, sexual orientation, age, disability, marital status, religion, nationality, etc.

To ensure equal opportunities for all, discrimination based on these factors is illegal under U.S. law, established partly in response to the Civil Rights movement.


Any form of physical abuse, sexual assault, or unwanted touching constitutes grounds for legal action.

Often, employers retaliate by firing an employee who reports such misconduct.

What Legal Actions Are Taken Against Lyft?

In 2017, a federal judge authorized a $27 million class action settlement involving Lyft and its California drivers.

The drivers claimed they were wrongly classified as “independent contractors.”

Earlier, a $12 million settlement proposal had been dismissed by the judge, who deemed it insufficient for the drivers.

An  image illustration of Sueing Lyft for Wrongful Termination
Sueing Lyft for Wrongful Termination
source: (Freepik)


Individuals have the legal right to pursue a lawsuit against Lyft for wrongful termination if they believe their dismissal violated employment laws or breached their contract.

With the classification of Lyft drivers as employees, there’s a clearer path for legal action in cases of wrongful termination.

Thus ensuring that drivers are afforded the protections and rights granted to employees.

However, individuals must consult with legal experts to assess the specifics of their situation and determine the best course of action.


What is considered Wrongful Termination in Virginia?

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