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Uber Drivers Who Sued to Get at Least $20 Each, Not Just 1 Cent

New York Approves First U.S. Cap On Uber, App-Based Cab Drivers
Photographer: John Taggart/Bloomberg

Uber Technologies Inc., accused of cheating thousands of drivers on their pay, would have paid some of them just a penny to drop a class-action lawsuit -- until a judge read the fine print in the settlement.

U.S. District Judge William Alsup in May told lawyers who negotiated the deal that it was “dangerously inadequate,” saying it’s “not reasonable” to present more than a quarter of the class members with a check amounting to less than the cost of mailing the check. He said one option was to tell those drivers with “minuscule claims” that they’re being excluded from the settlement.