This classification limits Lyft's liability for driver misconduct or negligence during rides, and affects whether safety regulations that apply to employers apply to Lyft.
Lyft's terms significantly limit your legal rights by requiring individual arbitration and waiving your right to participate in class action lawsuits. Lyft caps its financial liability to the amount you paid in the 12 months prior to any incident, which may leave you undercompensated if something goes seriously wrong. You can opt out of the mandatory arbitration clause by sending written notice to Lyft within 30 days of first accepting these terms.