Uber and Postmates’ Challenge to AB 5 Denied in Federal District Court
Posted Feb 26, 2020
A U.S. District Judge has denied Uber and Postmates’ request for a preliminary injunction to stop the enforcement of California Assembly Bill 5 against them. That law took effect on January 1 and tightened restrictions around the “gig economy” by requiring companies to classify independent contractors as employees unless specific conditions are met. Uber and Postmates had argued that the bill was unconstitutional and biased, and would damage their businesses. See Reuters, CNBC, New York Times.