According to reports from Bloomberg and the LA Times, several ride-sharing companies (Lyft, Uber and Sidecar) were recently put on notice that they are engaging in unlawful business practices. In a joint letter by the top prosecutors from San Francisco and Los Angeles, these ride-sharing companies were told that they might face a civil lawsuit if they did not modify certain practices. For example, in the letter to Sidecar, the company was informed that it had to stop:
(1) Making representations that lead customers to believe that the company screens out drivers who have ever committed driving violations, DUI, sex assault, and other criminal offenses; and
(2) Allowing shared-ride service fares on an individual-fare basis.