Proposed ballot measure in California targets rideshare safety and accountability

If approved by voters, the initiative would classify rideshare companies as “common carriers,” placing them in the same legal category as taxis, buses and trains.

SAN DIEGO — Rideshare companies like Uber and Lyft have transformed how millions of Californians get around, but questions remain about who is held responsible when something goes wrong. A new proposed statewide ballot initiative aims to change that by expanding accountability for driver misconduct, including sexual assault.

Editor’s note: CBS 8 had not received Uber’s statement when this story was initially posted. A representative from Uber had emailed it earlier, but it was delayed during Microsoft’s outage. It has been added to the story below. 

Supporters of the measure say concerns over passenger safety are driving the effort. If approved by voters, the initiative would classify rideshare companies as “common carriers,” placing them in the same legal category as taxis, buses and trains. It would hold them to a higher standard of care for passengers.

For riders like Isabelle Hallin, a college student, the proposal addresses fears many already carry when using rideshare services.

“I think that’s great, especially being a college student and coming home late at night,” Hallin said. “It’s always important to know who your Uber driver is.”

The California Business Regulations for Rideshare Companies Initiative would require annual fingerprinting and background checks for rideshare drivers and mandate public reporting of sexual misconduct complaints involving drivers.

“To know that their information is in the system, their fingerprints, they will be held accountable, I think that makes me and my family really comfortable when they know that I’m taking an Uber safely,” Hallin added.

Many parents say the issue hits especially close to home. This includes Mark Lord, a father who told CBS 8 that he worries about his daughters and friends using rideshare services.

“I’m wholeheartedly all for extra security measures, more stringent background checks on these drivers to minimize and mitigate some of these claims of sexual assaults,” Lord said.

The initiative’s strategist, Dan Newman, points to court filings and company disclosures from Uber as evidence of what he calls a widespread problem within the rideshare industry.

“This company has received a report of sexual assault or sexual misconduct nearly every eight minutes,” Newman said.

Recently unsealed court documents revealed that Uber received over 400,000 reports of sexual assault or sexual misconduct between 2017 and 2022. This recent unsealing stemmed from a massive litigation against Uber filed by more than 2,300 survivors across the country. These survivors claim that Uber failed to screen drivers appropriately, ignored warning signs, and prioritized profits over passenger safety. 

“Instead of spending a little bit of money to protect people from crimes like rape, this multi-billion-dollar corporation wants to save the funds for their corporate profits and their executive salaries,” Newman said. “They have this sordid secret of the epidemic of sexual assault and sexual misconduct, and they don’t want to be held accountable for it.”

According to the California Secretary of State, the initiative was cleared earlier this month to begin collecting signatures. Supporters must gather 546,651 valid signatures by July to qualify for the November ballot.

If approved by voters, the measure would also require rideshare companies to publish regular reports detailing incidents of sexual misconduct.

“They want to hide this,” Newman said. “They have this sordid secret of the epidemic of sexual assault and sexual misconduct, and they don’t want to be held accountable for it.”

Backed by the group Consumer Attorneys of California, signature gathering for the initiative is already underway across the state.

CBS 8 reached out to both Uber and Lyft for comment, and received the following response from an Uber spokesperson:

“It’s important to note that every driver on the platform goes through a rigorous, multi-layer background check, and we continuously monitor records to flag new offenses. We’ve built more safety features than any other rideshare platform, and we led the industry in publishing data on serious safety incidents. This blog goes into more detail.

In California, the background check and standards process are laid out in state law which you can read HERE. 

As the first company to release a comprehensive Safety Report (and two more since then), we believe we have been exceptionally transparent about safety on our platform.

The ballot initiative you cite is a retaliatory measure (see here) in reaction to a ballot initiative Uber has filed, seeking to limit the amount attorneys can collect from people injured in car crashes. Our ballot initiative ensures auto accident victims will keep at least 75% of their recoveries—so that the majority stays in their pockets, rather than being taken by their lawyers. See attached fact sheet.

Some background: Rideshare vehicles are among the most insured vehicles on the road. Uber’s high insurance limits have made it uniquely targeted by lawsuit abuse and fraud in California. We have had a front-row seat to the ways in which billboard lawyers and unscrupulous medical providers are enriching themselves at the expense of auto accident victims and, ultimately, consumers. Fraud is rampant, as we allege in our RICO lawsuits against certain providers. Attorneys are taking a huge percentage of their client’s recovery—while the patient ends up with almost less than half, or, even worse, with more debt than they had when they started, along with lasting pain from unnecessary surgeries. A recent Los Angeles Times investigation detailed this scheme. Of note, those contributing to these ballot measures include third-party lenders and those whose business is explicitly facilitating medical debt-based treatment (see attached).

It seems the Consumer Attorneys of California have no interest in protecting their clients, and instead have embarked on a disinformation campaign invoking sexual assault when, in fact, our ballot initiative clearly excludes sexual assault claims:

SEC. 5. Sexual Harassment and Sexual Assault Exempted. This article does not apply to any incident of sexual assault or sexual harassment, or any claim for damages, compensation, restitution, or other recovery as a result of sexual assault or sexual harassment. 

We believe Californians deserve a system that prioritizes victims over billboard lawyers. Capping attorney fees, banning kickbacks, and ending inflated medical billing are common-sense reforms that will protect auto-accident victims and lower costs, and we’re confident voters will agree.”