Lyft Inc. is free of a lawsuit alleging it misclassified a driver as an independent contractor instead of an employee after the worker agreed to arbitrate his wage-and-hour claims instead.
Carlos Castaneda, who drove for the ride-hailing platform for approximately six years before suing in 2021, voluntarily agreed to drop his Fair Labor Standards Act suit against Lyft so the parties could pursue arbitration as outlined in the company’s service agreement, according to a stipulation filed in the US District Court for the District of New Jersey on Thursday.
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