Uber New York class action alleges passengers overcharged $7.43m per month

Dial-a-ride d-baggery claimed on passenger side too

Uber's New York woes are piling up, as the dial-a-ride service has now been sued by riders who believe they were being overcharged.

A class action suit filed in the New York US District Court claims the UberX service has been charging users a higher-than-advertised price for rides.

The suit, led by named plaintiff Jacqueline Gayed, alleges Uber gives riders a higher fare than what they actually charge to customer accounts when the ride is completed.

"Uber's Upfront Pricing model calculates the rider's total fare before an Uber driver begins to provide transportation services to the rider. At all relevant times, Uber represented to both the Uber X rider and the Uber X driver that the amount identified in the Upfront Pricing was the 'actual fare' and that amount was determined based upon Uber's standard algorithm for base fare plus a per-mile and per-minute charge for the estimated distance and time of travel within the Uber territory," the suit claims.

"Uber knew, and failed to disclose, that the Upfront Pricing model was causing the Uber X rider to be over charged when compared with the actual fare incurred by the Uber X driver for the same ride."

The complaint goes on to suggest that, after giving the user a fare based on a longer route, the Uber app then gives the drivers a shorter, cheaper route in order to maximize profits.

"Uber's representations concerning the 'expected trip' were false because Uber knew and failed to disclose to both the Uber X rider and Uber X driver that it calculated the Uber X rider fare based on a route which it did not expect the Uber X driver to use, and further instructed the Uber X drivers to use a different, and more efficient, route," they charge.

"Similarly, Uber's representations about the 'actual fare' charged to the Uber X customer by the Upfront Pricing model were materially false and misleading because the 'actual fare' incurred by the Uber X driver for the same ride is, on average, $1.98 less than the fare Uber charges the Uber X rider."

The complaint estimates that these shenanigans have netted Uber up to $7.43m per month in overages.

If this sounds familiar, it's because just days ago, Uber drivers in New York made a similar claim that they were getting underpaid because fare estimates were not accounting for taxes and fees.

This charge similarly accuses Uber of using fuzzy math to present its customers and employees one fee, and then factoring in other charges when taking its own cut. ®

Similar topics

Other stories you might like

  • Robotics and 5G to spur growth of SoC industry – report
    Big OEMs hogging production and COVID causing supply issues

    The system-on-chip (SoC) side of the semiconductor industry is poised for growth between now and 2026, when it's predicted to be worth $6.85 billion, according to an analyst's report. 

    Chances are good that there's an SoC-powered device within arm's reach of you: the tiny integrated circuits contain everything needed for a basic computer, leading to their proliferation in mobile, IoT and smart devices. 

    The report predicting the growth comes from advisory biz Technavio, which looked at a long list of companies in the SoC market. Vendors it analyzed include Apple, Broadcom, Intel, Nvidia, TSMC, Toshiba, and more. The company predicts that much of the growth between now and 2026 will stem primarily from robotics and 5G. 

    Continue reading
  • Deepfake attacks can easily trick live facial recognition systems online
    Plus: Next PyTorch release will support Apple GPUs so devs can train neural networks on their own laptops

    In brief Miscreants can easily steal someone else's identity by tricking live facial recognition software using deepfakes, according to a new report.

    Sensity AI, a startup focused on tackling identity fraud, carried out a series of pretend attacks. Engineers scanned the image of someone from an ID card, and mapped their likeness onto another person's face. Sensity then tested whether they could breach live facial recognition systems by tricking them into believing the pretend attacker is a real user.

    So-called "liveness tests" try to authenticate identities in real-time, relying on images or video streams from cameras like face recognition used to unlock mobile phones, for example. Nine out of ten vendors failed Sensity's live deepfake attacks.

    Continue reading
  • Lonestar plans to put datacenters in the Moon's lava tubes
    How? Founder tells The Register 'Robots… lots of robots'

    Imagine a future where racks of computer servers hum quietly in darkness below the surface of the Moon.

    Here is where some of the most important data is stored, to be left untouched for as long as can be. The idea sounds like something from science-fiction, but one startup that recently emerged from stealth is trying to turn it into a reality. Lonestar Data Holdings has a unique mission unlike any other cloud provider: to build datacenters on the Moon backing up the world's data.

    "It's inconceivable to me that we are keeping our most precious assets, our knowledge and our data, on Earth, where we're setting off bombs and burning things," Christopher Stott, founder and CEO of Lonestar, told The Register. "We need to put our assets in place off our planet, where we can keep it safe."

    Continue reading

Biting the hand that feeds IT © 1998–2022