<story><title>Uber said to use “sophisticated” software to defraud drivers, passengers</title><url>https://arstechnica.com/tech-policy/2017/04/uber-said-to-use-sophisticated-software-to-defraud-drivers-passengers/</url></story><parent_chain><item><author>Consultant32452</author><text>I don&amp;#x27;t really understand why Uber would be required to show the same price to both sides unless contractually obligated.  When I hire a contractor to renovate my house he doesn&amp;#x27;t typically show me the invoices to all his subs.  He negotiates one price with them and a different price with me.</text></item><item><author>Judgmentality</author><text>One time when I took an Uber, the driver told me how Uber was defrauding him.  He had his friend order an Uber, and he made sure to pick him up, and they compared the prices.  The prices, unsurprisingly, were much higher for the passenger than for the driver.&lt;p&gt;The difficulty of course is proving this to be true.  And then the question is how much does Uber lose from a settlement?  Probably less than they earned from price manipulation.&lt;p&gt;But at this point it seems people might actually think negatively of Uber as a whole, but how long that will stick is hard to say.</text></item><item><author>lithos</author><text>Uber has killed so much goodwill and their reputation so well that no one will be surprised at almost any accusation directed at Uber.&lt;p&gt;I know my first thought was &amp;quot;not surprising&amp;quot;, and I imagine others will think the same.</text></item></parent_chain><comment><author>ewjordan</author><text>According to the complaint, this was part of the contract:&lt;p&gt;&lt;pre&gt;&lt;code&gt;  52. The Uber Defendants and Plaintiff and the other Class Members had a
  contractual agreement regarding the collection, receipt, and payment to drivers of the
  fares paid by Users for the driver’s transportation services.
  53. The Uber Defendants agreed that they would collect and pay to the
  Plaintiff the fare by the User, minus a contractual service fee and booking fee.
  54. As a result of the misrepresentations and omissions alleged herein,
  including the Uber Defendants&amp;#x27; failure to remit payment to the Plaintiff and other Class
  members of the full amount of the fare (after deducting the contractual service fee
  percentage and booking fee), there has been a violation or breach of the agreement
  between Plaintiff and the Uber Defendants. Accordingly, Plaintiff and the other Class
  members have been underpaid for their services and did not receive the benefit of
  their bargain.
&lt;/code&gt;&lt;/pre&gt;
If the contract with drivers did, in fact, say that Uber would pay out the fare that the user paid minus a standard service and booking fee, then it seems like this is pretty solid, though IANAL. I have no idea if that&amp;#x27;s what the actual agreement is, though.</text></comment>
<story><title>Uber said to use “sophisticated” software to defraud drivers, passengers</title><url>https://arstechnica.com/tech-policy/2017/04/uber-said-to-use-sophisticated-software-to-defraud-drivers-passengers/</url></story><parent_chain><item><author>Consultant32452</author><text>I don&amp;#x27;t really understand why Uber would be required to show the same price to both sides unless contractually obligated.  When I hire a contractor to renovate my house he doesn&amp;#x27;t typically show me the invoices to all his subs.  He negotiates one price with them and a different price with me.</text></item><item><author>Judgmentality</author><text>One time when I took an Uber, the driver told me how Uber was defrauding him.  He had his friend order an Uber, and he made sure to pick him up, and they compared the prices.  The prices, unsurprisingly, were much higher for the passenger than for the driver.&lt;p&gt;The difficulty of course is proving this to be true.  And then the question is how much does Uber lose from a settlement?  Probably less than they earned from price manipulation.&lt;p&gt;But at this point it seems people might actually think negatively of Uber as a whole, but how long that will stick is hard to say.</text></item><item><author>lithos</author><text>Uber has killed so much goodwill and their reputation so well that no one will be surprised at almost any accusation directed at Uber.&lt;p&gt;I know my first thought was &amp;quot;not surprising&amp;quot;, and I imagine others will think the same.</text></item></parent_chain><comment><author>Steko</author><text>If they&amp;#x27;re using a fraudulent route as the basis for the price, that&amp;#x27;s like your contractor billing you for more manhours than it actually took.</text></comment>