Class Action Lawsuit Reveals False Advertising of Taxi Service

Efficient deposition transcription can help the plaintiff’s case in a class action lawsuit. These lawsuits are powerful means for consumers to unite against the fraudulent practices of large corporations, against whom they would stand a weaker chance if they were to fight individually. Deposition helps the concerned parties to make their point clear and bring the facts to light.

The recent class action lawsuits involving a major international cab hire service have brought to light the effectiveness of these kinds of cases. The well known cab service had been caught in two class action lawsuits that alleged it to have indulged in false advertising, making customers prefer hiring its taxis by believing its false claim that its safety checks are industry-leading.

Damages and Changes in Consumer Advertising

As part of the settlement of the class-action cases, the company will have to pay $28.5 million to the 25 million riders who believed its misleading ads and hired its cabs. This settlement enables these riders to receive 82 cents each, excluding lawyer fees.

>> The settlement also demands that the company refrain from using terms such as "best in class" or "industry-leading" when describing the quality of the background checks it conducts on its drivers. The argument of the plaintiffs in the two separate lawsuits has been upheld, which revealed that the company actually lags behind some taxi companies and other transportation services in safety checks. While it performs background checks on its drivers, it does not carry out fingerprint checks. There was no way its claims of industry-leading safety and background checks could be justified. It had also claimed, in consumer advertising, that is was safer than a regular taxi.

>> While the settlement does not influence the manner in which the cab hire service would conduct its safety checks, it does mean that it will have to be more responsible in the manner in which it advertises. The company will now rename its "Safe Rides Fee" - an extra charge it levied to supposedly cover the costs of its 24/7 support and background checks - as "Booking Fee". It will set apart the booking fee charge for meeting the costs of safety and operations.

Effectiveness of Class Action Lawsuits

Class action lawsuits such as these can be pretty effective, particularly when dealing with large international businesses that have betrayed the trust of a large section of customers. Because of the common grievance of many people, the seriousness of the issue is brought to light with greater force, much more than it would be if the plaintiff is an individual filing the case by himself/herself.

Reliable deposition transcription really helps here, by making the job of the attorney easier and ensuring the statements of the consumers are recorded faultlessly. As you know:

>> The greatest advantage of a class action lawsuit is that consumers can band together against a large corporation and can share the expenses of the legal proceedings among themselves.

>> It even enables consumers who may be apprehensive or ignorant of legal proceedings to be represented.

>> Banding together gives consumers greater power and unites them in one force, enabling the court to balance the individual damages caused and pronounce consistent judgment that manages to significantly punish the fraudulent action.

The other alternative would be for plaintiffs to file separate individual lawsuits which would significantly raise the legal costs faced by each of the consumers and also result in inconsistent rulings by courts. With a class action, individuals become evenly matched against corporations.