Los Angeles, CA A consumer fraud class action lawsuit has been filed against Uber Technologies Inc. alleging the ride share company has falsely stated its services as being cheaper than taxis. The lawsuit, filed in California court, further claims that Uber failed to reveal that credits it provides in exchange for new-customer referrals have expiration dates.
According to the complaint, Sennett Devermont, who filed the suit, regularly uses Uber' ride-hailing service in Los Angeles. Based on his experiences, choosing Uber over a taxi for "specific routes"wasn't 30 percent cheaper as Uber had claimed in advertisements. "Uber's actions here have been immoral, unethical, oppressive, unscrupulous, and substantially injurious to consumers," the complaint states.
According to the complaint, Uber has "systematically"violated California' Unfair Competition Law by stating that its services are cheaper when a normal cab company may actually charge less during certain peak times. The practice is ongoing and widespread.
Devermont claims that rather than saving money he has lost money by paying more for using Uber than expected. He asserts that Uber should compensate him and other class members. "On behalf of the general public, plaintiff requests that this court order Uber to disgorge the profits they have wrongfully obtained through the use of these unfair, unlawful and deceptive practices," the complaint states.
Further, Devermont states in the complaint that Uber has also offered referral credits of $10 and $20 over the years, according to its website, but the plaintiff said the company on reveals the credits once a customer has made a referral.
Devermont proposed a class including all California residents who used Uber's services over the past four years, as well as a subclass for class members who viewed ads claiming the company is cheaper than taxis and another for those who weren't immediately told their credits would expire.
Devermont is represented by Michael L. Cohen and Heather M. McKeon of Cohen McKeon LLP. The case is Sennett Devermont v. Uber Technologies Inc., case no. BC588096, in the Superior Court of the State of California for the County of Los Angeles -- Central District.
