Uber, California lawyers say deal reached to avert dueling ballot initiative showdown

The state’s trial attorneys and Uber say they have reached a last-minute deal to scrap their dueling ballot measures and avert what was gearing up to be one of most expensive battles of the November election.

The deal, which comes a day after both measures qualified for the November ballot, has Uber agreeing to bulk up safety measures, while the trial attorneys will limit how much they can claim for lien-based medical treatment of victims who get in Uber or Lyft accidents, according to spokespeople for both sides of the campaign.

“Both sides agree: Californians deserve a system that’s safe, fair, and accountable,” read a joint statement from Uber and the Consumer Attorneys of California, a powerful attorney trade group. “This agreement protects patients from unnecessary treatment or getting overcharged, ensures access to medical care and legal representation, and strengthens safety measures.”

The agreement, finalized Thursday, means the ride-share giant will kill its ballot measure to cap how much attorneys can earn in vehicle collision cases and limit medical damages to rates based on insurance. Uber has argued that the costs for medical treatment done on a lien, which allows doctors to get paid from a cut of the plaintiff’s payout, far exceed what it would cost if the victim had used their own insurance.

In return, the Consumer Attorneys of California will cancel its competing ballot measure that sought to increase legal liability for ride-share companies if a passenger is sexually assaulted by a driver. The measure followed an investigation by the New York Times into sexual assault by drivers.

Both sides had poured tens of millions into the campaigns, plastering billboards across Los Angeles.

Lawyers claimed the fight had turned existential with the measure threatening to decimate the profit margin of many personal injury cases and leave drivers with small or thorny cases unable to find an attorney willing to take their case.

Spokespeople say the deal is predicated on their agreement being codified into a bill within the next week. Otherwise, they said, each side will move forward with its ballot measure.