Mark is a college student who works as a driver for the driver service, Uber. Mark gets paid $12 an.

Mark is a college student who works as a driver for the driver service, Uber. Mark gets paid $12 an hour for the hours he drives his car for Uber. Sometimes Mark drives as much as 50 hours in a week for Uber, and other times he drives only 20 hours in a week for Uber. Uber must approve the hours that Mark will drive in a week and sets the prices its drivers may charge customers. Uber’s website advertises for drivers, stating that “Uber Needs Partners Like You. Drive with Uber and earn great money as an independent contractor.†While Mark is driving a passenger in his car for Uber, he drives too fast, loses control of his car and has an accident severely injuring his passenger, Alek. Alek plans to sue the Mark for his negligent driving and is seeking $10,000,000 in damages for his injuries, which include broken arm, two broken legs, and a spinal injury that has left him paralyzed. Mark has insurance coverage in the amount of $500,000. Mark notifies Uber of the accident. The Director of Loss Management asks you to advise her of Uber’s risk should Alek file a lawsuit against Uber seeking damages from Uber as a result of Mark’s accident. Explain the legal risks to Uber in this scenario, discussing in detail the legal principles involved in your analysis. Set forth the facts you need to know to help you analyze Uber’s risk.

 

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