Uber Busted For Spying On Lawyers

July 13, 2016

A judge in a potential class action against Uber has said that the ride-sharing firm’s move to hire an independent firm to investigate the plaintiff and his lawyer may be enough to show “reasonable perception of fraud.” Lawyer Andrew Schmidt filed a lawsuit alleging that Uber CEO Travis Kalanick coordinated surge pricing in violation of anti-trust laws. In response, Uber’s general counsel, Sallie Yoo, asked the company’s chief security officer to look into Schmidt and the plaintiff. Uber hired Ergo, also known as Global Precision Research LLC, a firm staffed with veterans of the CIA and National Security Council. Uber paid the firm $19,500 to interview friends and coworkers of Schmidt and the plaintiff, all meant to be anonymous. But the investigation, and the fact that Uber was behind it, soon came to light and created a PR nightmare for the crowd-sharing pioneer. According to a sworn deposition from an Ergo employee, it was the fourth time Uber had commissioned work from the company. Ergo’s investigation was “raising a serious risk of perverting the process of justice before this court,” the judge in the case ruled. Uber is currently litigating 70 different federal lawsuits, concerning alleged wage theft and the question of work classification for its drivers.

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