It seems like almost any transaction conducted online requires the acceptance of a long series of terms and conditions that are often difficult to understand. Rideshare companies such as Uber and Lyft require users to approve these provisions in order to use their services. Though you might not pay much attention to the terms and conditions when you confirm your approval, the mandatory arbitration clause contained within them could have a major effect on the recovery you receive if you’re hurt in an accident.
Companies in many industries attempt to force consumers into arbitration of legal claims, because litigation typically leads to better results for injury victims. These days, Uber and many other rideshare companies do much more than ferry passengers from one place to another, while using a general set of terms and conditions. A recent New Jersey Appellate Division case reviewed whether Uber can apply a mandatory arbitration clause that apparently was approved by an accident victim’s minor daughter while using Uber for a food delivery.
In McGinty v. Uber, a married couple was in the backseat of a vehicle they had hired through the rideshare app when the car T-boned another vehicle, injuring both the wife and husband. The plaintiffs sought to bring a lawsuit against Uber for injuries sustained during the incident. However, Uber moved to compel arbitration, citing Georgia McGinty’s acceptance of the applicable provision.
Ms. McGinty had apparently agreed to arbitration in a previous version of the terms and conditions, but she claimed that because the language did not specifically mention waiving the right to a jury trial, she still had that right. Plaintiffs further alleged that the most recent version of the terms and conditions could not be applied against them, because their daughter was a minor and the agreement for Uber Eats should not cover the company’s rideshare services.
The court rejected the McGinty’s arguments and held that the mandatory arbitration clause is valid and enforceable, despite the specific mention of a jury waiver. Even if the couple’s minor daughter accepted the terms and conditions, it was on her mother’s account and included a declaration that the signer was at least 18 years old. Moreover, the terms covered all claims arising from the use of Uber’s services, not just food delivery.
For individuals injured in rideshare accidents, arbitration clauses can limit their ability to bring claims in court. Arbitration often involves private proceedings with limited discovery, which can disadvantage plaintiffs. If you have been hurt while riding in an Uber or Lyft vehicle, it is essential to consult an experienced attorney who can help assess the validity of an arbitration clause and advocate for your rights.
Seigel Law in Ridgewood handles injury and wrongful death claims related to rideshare accidents and other types of vehicle collisions. Please call 201-444-4000 or contact us online for a free consultation with a knowledgeable New Jersey lawyer.