Uber faces sexual assault trial in Arizona that puts its safety record under scrutiny

Uber faces over 3,000 similar lawsuits, but trial is first in US federal court Outcome could impact resolution of remaining lawsuits Uber argues drivers are independent contractors, says it is not liable for their actions By Diana Novak Jones Jan 12 (Reuters) - Uber (UBER.N) is set to face trial this week in Phoenix, Arizona, in a lawsuit brought by a woman who says she was sexually assaulted by a driver she booked through the app. The trial will be the first test of Uber’s efforts to shield itself from liability for alleged assaults committed by its drivers, with thousands of cases pending in U.S. federal court. Oklahoma resident Jaylynn Dean sued Uber in 2023, one month after her alleged assault in Arizona. She said Uber was aware of a wave of sexual assaults committed by its drivers but had failed to take basic actions to improve the safety of its riders. Such assertions have long dogged the company, drawing headlines and Congressional scrutiny. Uber is facing more than 3,000 lawsuits over similar claims that have been consolidated in federal court. The verdict in Dean’s lawsuit, which is considered a “bellwether” or test case for the litigation, could be used to determine the value of the lawsuits for any potential settlement or resolution of the cases en masse. The outcome of the litigation could weigh on Uber’s balance sheet and complicate its relationships with regulators and investors who have closely tracked its safety record. Uber has argued it should not be held liable for criminal conduct by drivers who use its platform, saying that its background checks and disclosures about assaults are sufficient. The company maintains that its drivers are independent contractors rather than employees, but that regardless of their classification it cannot be responsible for actions that fall outside the scope of what could reasonably be considered their duties. Representatives for Dean declined to comment. In a statement before the trial, a spokesperson for Uber said it takes every report of sexual assault very seriously and the company is continuing to invest in new technology to help prevent harm. “Safety is foundational at Uber, and our commitment to help protect people on the platform will never stop,” the spokesperson said. TEST CASE ON LIABILITY Dean’s lawsuit said she was intoxicated when she hired an Uber driver to take her from her boyfriend’s home to her hotel. The driver asked her harassing questions on the ride before stopping the car and raping her, Dean alleges in the lawsuit. In addition to the cases in federal court, the company is facing more than 500 additional cases in California state court. The company won the only trial to take place thus far over the claims in California state court in September after a jury found that Uber was negligent in terms of the measures it put in place to protect the woman’s safety, but that the negligence was not a substantial factor in causing her harm. Uber has faced numerous safety controversies, including allegations of lax driver vetting and a culture critics said prioritized growth over passenger protection. The company has made safety a central talking point in recent years, publishing U.S. Safety Reports that detail reported sexual assaults, rolling out features such as in-app ride verification, video and audio recording of rides, anomaly detection, and partnering with survivor advocacy groups to reform driver training. Uber rival Lyft (LYFT.O) is facing similar lawsuits in both state and federal court, although there is no coordinated federal litigation for those claims. Uber sought to delay the trial in Dean’s case after accusing her attorneys of tainting the jury pool with an ad campaign that said Uber was notified of a sexual crime almost every eight minutes. Uber said the campaign’s claims were categorically false. U.S. District Judge Charles Breyer, who is overseeing the mass litigation and will hear Dean’s case, denied the motion, allowing the trial to move forward.