Uber Faces Charges in San Francisco, Los Angeles for Illegal Business Practices

Uber, the popular ride-sharing service, is once again hit with new lawsuit charges from not just one but two district attorneys. George Gascón, San Francisco District Attorney and Jackie Lacey, Los Angeles District Attorney, are suing Uber for a number of illegal practices, which include the way it conducts background checks on its drivers and the fees that it charges when servicing airports.

The background check in question is deemed by the district attorneys as inaccurate or misleading. By law, taxi drivers have to undergo more comprehensive background checks, which include fingerprinting. Uber does not collect fingerprint samples from prospective drivers as a way to verify records of criminal acts. Instead, the company relies on the driver's online submission of personal information. It then contracts a private company, which conducts the background checks.

"Without fingerprinting, the vetting is 'completely worthless' because it doesn't ensure that the information provided is actually associated with the driver," said Gascón.

Uber is also being questioned on the fees that it charges its customers. Apart from the "safe ride fee" of $1, Uber customers are also charged an "airport fee toll" of $4 when they go to and leave the San Francisco International Airport. The airport fee is collected even though the money is not passed on to the airport.

The district attorneys are demanding Uber stop these illegal practices and reimburse in full the customers who were made to pay.

"Uber has refused to comply with straightforward California laws that protect consumers from fraud and harm," said Gascón and Lacey. "These companies can be innovative in the way they deliver services without ignoring the laws that protect the public."

Earlier this year, Gascón and Lacey sent letters to Uber and threatened to take legal action against the company. Other companies that face a similar warning include Sidecar and Lyft. In the complaint, the district attorneys requested Uber to comply with the laws of California and provide restitution to customers. This means paying the amount of $2,500 for every legal violation made and refunding the "Safe Rides" or "Airport Toll" fees that were collected.

Other areas of the consumer protection lawsuit filed against Uber include the company's calculation of fares without going through the proper state agencies and its illegal operation at California airports.

Gascón said that his office felt frustrated because Uber did not want to cooperate with them on the lawsuit.

Eva Behrend, Uber spokesperson, defended the company.

"Uber has met with the district attorneys to address their concerns regarding airport operations, the uberPOOL product, background checks, and operation of the app. We will continue to engage in discussions with the district attorneys," Behrend said.

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