The “misstatements and omissions” ahead of its preliminary public providing come with now not disclosing the “existential chance” introduced through studies of drivers assaulting passengers at the platform, in addition to issues of safety regarding its bikeshare industry.
The initial agreement settlement, detailed in a court docket submitting Thursday, is pending approval through Pass judgement on Haywood S. Gilliam, Jr. of the Northern District of California. Significantly, the cash would pass to shareholders, indirectly to the people who’ve been sufferer to and reported such incidents.
“Lyft cultivated a emblem symbol as a more secure, extra socially mindful rideshare choice with a focal point on interesting to feminine passengers,” Thursday’s submitting reads. “After the IPO, alternatively, ratings of stories got here to mild of Lyft drivers sexually assaulting their passengers. Dozens of people introduced claims in opposition to Lyft associated with driving force sexual misconduct within the months following the IPO.”
The shareholders say Lyft didn’t reveal this in its IPO registration bureaucracy.
