Judge Blocks NYC Law Requiring Notice Before Driver Deactivation

U.S. District Judge Gregory Woods issued a preliminary injunction on July 22 blocking New York City from enforcing a law that would have required ride-hailing companies to provide drivers 14 days' notice before app deactivation. The legislation was scheduled to take effect on July 28 and had been passed in January after the New York City Council overrode a veto by former Mayor Eric Adams.

Uber Technologies Inc. and Lyft challenged the law in June, arguing that the requirement violated their due process and free speech rights. The companies specifically claimed the law could compromise rider safety by forcing them to keep unsafe drivers on the road during the notice period.

Judge Woods ruled the law is likely unconstitutional, finding that it protects a narrow class of drivers without advancing a broader social or economic interest. He stated that the law interferes with the ability of companies to ensure platform safety. The injunction remains in place pending the outcome of consolidated lawsuits from both companies.