Uber Bunding Memo

BRIEFING MEMO
To: Investment Firm
From: Paris Firm
Date: February 27, 2018
Subject: Assessment of Uber’s legal exposure for the conduct of its drivers. Uber Technologies is one of the most valued startups in recent years. Founded five years ago as UberCab, Uber changed how users requested car service in San Francisco. By letting users use an app to hail, track, pay, and tip a cab driver, Uber became one of the hottest start ups in the area. Now valued at over $60 billion dollars, Uber currently operates in 58 countries (Business Insider, 2016). What started off as a “black car” cab hailing service has quickly evolved into several other niche markets. Apart from on call black car service Uber also provides a low-cost option for riders—Uber

To establish this, we must establish the principles of agency between the two parties. Principles of agency is simply an established agreement between two entities, where one entity is the agent and performs on the behalf of the other entity or principal. The entity acting as agent is accountable for assigning the principal entity responsibilities. These responsibilities include but aren’t limited to Reasonable Care—making the most accountable decision within the situation, Loyalty—making decisions which are best for the principal, and Obedience—following specific guidelines and instructions that were given by the principal. The principal entity’s duty to the agent includes realistic payment and expenses. The relationship between Uber Technologies, Inc. and its drivers, Uber is the principal and the driver acts as the

Due to doctrine such as respondeat superior where the employer is responsible for employee actions, Uber must first and foremost take on their policies and procedures that lead to them relating to drivers in the Principal-Agent capacity.
This may include finding another way for drivers to prover their credibility with direct background check completed by Uber Technologies, Inc. One solution may be to pair with insurance companies and underwriters to get most accurate background information with pulling the background itself. Uber can also begin to file lawsuit against drivers who violate in certain capacities before a case is sent them to respond. By showing themselves as being violated, the ridesharing company may be able to establish a reverse Principle- Agent Relationship where the driver is the principal and Uber is the agent. Just getting this ruling in one case will allow other lawyers to use this example as precedence in future cases.
Going forward Uber is also getting hurt by battling other countries for ridesharing market share only to be shut down by states and countries all together. Uber can reduce this liability by lobbying to have states and countries implement regulatory laws and statuses that favor their position.