Judge Blocks Law Made to Protect App Drivers From Abrupt, Unexplained Firings

A Manhattan judge has blocked a city law that is designed to shield Uber and Lyft drivers from being abruptly deactivated from the ride-hailing apps just days before it was set to take effect.
The preliminary injunction issued Tuesday by United States District Court Judge Gregory Woods pumps the brakes on Local Law 52, which was set to take effect July 28 as a way to shield more than 80,000 for-hire vehicle drivers from getting booted off the apps without advance notice.
The City Council overwhelmingly approved the measure in January, but Woods noted in his 53-page decision that wrongful deactivation affects no more than a βnarrow groupβ of drivers. Uber and Lyft had filed suit in federal court last month and lawyers for the companies argued before Woods last week that the law could force them to keep drivers who are a threat to the safety of passengers and the public.
βThe record shows that the City Council did not consider the lawβs effects on the broader citizenry of New York City, such as passengers and pedestrians β groups whose safety depends in part on swift deactivation of drivers accused of fraud, assault or dangerous conduct,β Woods wrote in the page decision.
βNor did the city consider whether the cost of compliance with the law would result in increased costs for the millions of monthly users of Uber and Lyftβs services,β he added.
Representatives for the ride-hailing apps praised Woodsβs opinion, which pushes back on legislation that then-Mayor Eric Adams vetoed Dec. 31 during his final hours in office. The City Council overwhelmingly revived the bill in January, only for it to be challenged again by the tech giants in federal court.
The legislation would require the app companies to specify why drivers are being cut out from the apps, require 14 daysβ notice and also establish an independent appeals process.
Court papers point out that Uber safety issues accounted for more than half of its New York driver deactivations in 2025 and that safety and fraud β including identity and document fraud β account for more than 92% of that total.
βWeβre pleased the court recognized the importance of preserving our ability to exercise discretion to protect the safety and integrity of our platform,β said Josh Gold, an Uber spokesperson. βThe opinion underscores that driver fairness and rider safety can and must go hand in hand.βΒ
CJ Macklin, a Lyft spokesperson, added that the company is pleased that the judge recognized βthe serious safety concerns at the heart of this challenge.β
βWe now look forward to making our full case,β Macklin said.
In a statement, the cityβs Department of Consumer and Worker Protection said the agency βrespectfully disagrees with the decision.β
βFairness in the workplace starts with guaranteeing stability β not allowing an algorithm to determine whether drivers can earn a living,β spokesperson Stephany Vasquez Sanchez said.
The billβs sponsor, Councilmember Shekar Krishnan (D-Queens) blasted the judge for siding with Uber and Lyft, whose drivers completed more than 22 million trips in May, according to New York City Taxi & Limousine Commission data.
βWe strongly disagree with the courtβs decision,β Krishnan said in a joint statement with Council Speaker Julie Menin. βWe are evaluating this latest ruling and considering next steps to ensure these protections are upheld.β
The City Council approved a similar measure last year for food delivery workers who work for the apps.
Bhairavi Desai, head of the New York Taxi Workers Alliance, called the judgeβs move to block the law βmisguided, wrongβ and marked by βextreme pro-corporation bias.β
βIt took three years to win the law,β Desai told The City Reporter. βThe drivers had been suffering for far longer.β
At a rally last week in front of Uberβs Lower Manhattan headquarters, several drivers who contend they were wrongly deactivated from the apps said the measure would bring them out of the dark about why.
Md Azizul Haque, who drove for Uber from 2018 until mid-2019, called the suspensions βone-sided judgementsβ that left drivers exposed to overheated accusations from passengers,
β[Uber] just texted me a message that I broke their community guidelines,β said Haque, who now drives a yellow taxi. βThatβs about all I know.
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