Uber Spends Millions On Nevada Ballot Initiative That May Slow Sexual Assault Suits

Trial attorneys say the whole point is to make it harder for civil plaintiffs to find someone willing to represent them against Uber.

Uber has poured millions of dollars into a Nevada ballot initiative that would impose a stringent cap on attorneys’ share of civil lawsuit payouts — potentially limiting the ride-hailing giant’s exposure to sexual assault claims and other litigation from customers and drivers.

The measure, pushed by a new political action committee called Nevadans for Fair Recovery, would set a firm 20% ceiling on lawyers’ contingency fees in all civil cases in the state. Plaintiffs are likely to hire attorneys on contingency when they can’t afford to pay an hourly rate out of pocket; an attorney then takes a cut of any judgment or settlement if a case succeeds.

Backers of the proposal assert that it’s aimed at sketchy “billboard” lawyers who drive up litigation costs with dubious, slip-and-fall-type claims. But lowering the fees in civil lawsuits could make plaintiffs attorneys less likely to take certain cases — possibly freezing legitimate plaintiffs out of the justice system and saving the likes of Uber from civil liabilities.

The ride-hailing company is the measure’s lead sponsor and has dumped at least $4 million into the effort so far, according to state campaign finance filings. Local news site The Nevada Independent listed it among the biggest political contributions toward a ballot initiative this year. Backers hope to get the proposal on the state’s ballot in November.

Uber did not respond to questions from HuffPost about why capping attorneys’ contingency fees in Nevada was important to the San Francisco-based tech company and its drivers. A spokesperson for Nevadans for Fair Recovery reached out to HuffPost to insist that the initiative would benefit, not hurt, civil plaintiffs.