Lyft has agreed to hand hundreds of millions of dollars to California drivers who say the company treated them as contractors instead of employees.

The settlement totals $272.5 million, including fees and costs, and resolves claims from the state attorney general, city attorneys, the labor commissioner and private plaintiffs covering April 5th, 2016, through December 15th, 2020.

At least $237,075,000 is reserved for drivers based on hours and miles driven, with payments allowed over four years plus up to $12.4 million in interest. Lyft booked a $210 million accrual in the fourth quarter of 2025.

“The lawsuit followed the introduction of the ‘ABC test:’ the groundbreaking legal test used to analyze the misclassification of workers, which was first adopted by the California Supreme Court in 2018 in Dynamex Operations West, Inc. v. Superior Court and then codified into law under AB5. In the midst of litigation, Proposition 22 altered how the ABC test is applied to certain app-based drivers. Despite several appeals and changes in the law, the Attorney General and his partners remained resilient, winning every legal challenge in court and remaining steadfast in their demands for drivers’ deserved wages and protections.”

Says California Labor Commissioner Lilia García-Brower,

“This settlement is about the workers who came forward and spoke up. Their voices made this outcome possible.”

In an SEC filing dated September 30th, Lyft says the deal is not an admission of liability and that resolving the matter now lets it avoid the costs and distraction of drawn-out litigation and keep management focused on its business goals. The attorney general announced the agreement today. The deal is still subject to court approval.

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The post Lyft Handing Out $272,500,000 After Ride-Hailing Giant Settles Over Alleged Misclassification of California Drivers appeared first on The Daily Hodl.

The Justice Department says UCLA’s law school discriminated against white and Asian applicants in its 2023, 2024 and 2025 classes.

The findings say the school violated Title VI of the Civil Rights Act and the Supreme Court’s 2023 ban on race in admissions.

The department says the school rejected white and Asian applicants who had the same LSAT scores as admitted black and Hispanic applicants.

In 2024 and 2025 combined, half of the admitted black applicants had LSAT scores at or below 90 percent of the admitted white applicants.

Investigators say the application still uses essays that draw out race, and staff told applicants how to reveal it at a “Diversity Admissions Open House.”

Says Assistant Attorney General Harmeet K. Dhillon,

“Like many of its peer institutions, UCLA Law School runs a two-tiered admissions system whose academic bar for acceptance shifts up or down depending on the color of your skin.

The use of race as a thumb on the scale that helps or disadvantages any student is illegal. The Department will continue to enforce equal treatment under the law everywhere — including in our nation’s law schools.”

UCLA Law is the law school at the University of California, Los Angeles. It takes federal money, which puts it under the civil rights rule.

The department says it will try to settle. If that fails, it will sue.

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The post Department of Justice Says UCLA Law Discriminated Against White and Asian Applicants appeared first on The Daily Hodl.