On May 11, 2018, in the case of Chamber of Commerce v. Seattle, the Ninth Circuit Court of Appeals addressed whether the Seattle ordinance that created collective bargaining rights for Uber/Lyft drivers is preempted by federal antitrust law or the National Labor Relations Act (NLRA). The Ninth Circuit found that NLRA preemption did not prevent implementation of the ordinance because the drivers are classified as independent contractors and independent contractors are excluded from the NLRA. However the Court left open the possibility that the ordinance may be preempted by federal antitrust law unless (1) the legislature clearly articulates a policy to permit independent contractor drivers to cooperatively fix the prices they are willing to pay for ride-referral services and (2) the State of Washington officials are actively supervising the conduct of private parties.
To view the Opinion, click here.
