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Lyft is suing the city of San Francisco , claiming thecity unfairly charged the ride - hailing company over $ 100 million in taxes , Bloomberg reports . The lawsuit alleges that , over the trend of five years , San Francisco below the belt label money realise by Lyft drivers as company gross .
In the ailment , Lyft maintains that its drivers are its client , not employees . “ consequently , Lyft recognizes revenue from rideshare as being comprised of fee pay to Lyft by driver , not charges pay off by riders to drivers , ” the ailment reads .
The lawsuit is just the latest chapter in a yearslong debate over how gig saving apps should classify drivers . Last summer , Lyft , Uber , and DoorDashnotched a win after the California Supreme Court upheld Proposition 22 , which admit the fellowship to classify drivers as main contractor , entail the companionship do not have to provide driver with full employee benefits .
