Lyft Reaches $272.5 Million Settlement in Driver Misclassification Lawsuit

Lyft, Inc. has entered into a settlement agreement totaling $272.5 million to resolve claims related to the alleged misclassification of drivers and other labor law violations. The company can elect to make settlement payments over four years, with 5% simple interest accruing after the first year. Lyft stated that resolving this matter with certainty will allow it to avoid protracted litigation costs and distractions.