Lyft Settles with the Justice Department Over Claim It Misled Drivers About Potential Earnings

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During the pandemic, Lyft told drivers in some cities that they could make over $40 per hour. The Justice Department argued only the most hardcore drivers would make that much.

filed by the Department of Justice accusing the company of getting drivers back onto the platform during the pandemic by misleading them about how much they could potentially earn. As a result of the settlement, the second-fiddle to Uber will pay $2.1 million and promises to not engage in the misleading practices noted in the case.

Lyft says that it already changed its practices since the lawsuit was filed but decided it was best to just settle. “We agreed to this settlement because we recognize the importance of transparency in maintaining trust in the communities we serve,” Lyft said last week.

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