business law
Nevaeh
lawpaper.docx.pdf
Uber’s Terms and Agreement Term Paper
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Table of Contents
Executive Summary ……………………………………………Page 3
Introduction …………………………………………………….Page 4 - 6
Description ……………………………………………………...Page 7 - 24
Application of legal principles …………………………………Page 24 - 33
Recommendations ………………………………………………Page 33 - 35
Problem Scenario ………………………………………………Page 36 - 38
References ………………………………………………………Page 39
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Executive Summary
This report will analyze the terms and conditions that are set forth in the outlined service
agreement policy of the service provider Uber as well as all factors and elements that are
associated with its company subject to the legal system in Ontario. The purpose provided by this
report is to help understand and analyze the importance of clauses that are outline by service and
goods providers, being Uber in this analysis, in order to help understand the deeper meaning
behind service agreements and their significance. The terms and conditions analyzed are divided
into seven clauses with their subsections, that take up roughly eight pages. In addition, this report
applies the legal concepts discussed in class in relation to the clauses set forth, as well as
provides recommendations to pinpoint weak areas of the document.
Key Recommendations
● Uber should ensure all of its information of terms and privacy are found under one
document to avoid the claims of misleading and deceiving assertions
● Uber should add a definitions section, defining their use of third-party as well as other
terms used in the document
● The specification of terms and conditions to the user’s region
● The use of pictures to help readers visualize and be more drawn to help read and
understand the terms and conditions
● Lastly, Uber provide enhance protection notices and additional screening of third parties
to ensure the safety and protection of all users
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Introduction
The world we live in today is in a constant state of innovative methods to change the lives and
connect people all through an online system. We are constantly finding new ways of doing things
that provide means of functionality in order to progress into a world where there is a solution to
everything. Sooner or later, all jobs will be replaced by artificial intelligent robots.
But how will we get there if it is not for where we are now. Companies are operating behind
screens and allowing individuals to more easily have access to self-employment to create a new
phenomenon of independent out of office jobs. With all this comes the users who are benefitting
from these services, yet at the same time are benefitting the company with their collection of user
data to be able to carry out research and development for future purposes. But this new world of
web-based technology, services, and jobs brings up the question of privacy and protection of
users. Large dominant players of the global industry such as Uber must always ensure that their
image is intact to maintain competition. It is ESSENTIAL for parties to full comprehend their
protective rights in the case of any events occurring to understand where they are legally held
liable and where it may fall in the corporation.
Terms and conditions that are set out are rules and regulations that the person purchasing the
service or good is to agree to prior to receiving the good or service. The problem with today’s
society is the lack of knowledge with the law that causes individuals to not even give the terms
and conditions a second glance. Most of the time, they do not even glance, but scroll right down
past all the terms and click on the “I agree” checkbox without even thinking twice about it.
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People assume that they will never be affected by the service nor its outcomes, yet when it comes
down to the occurrence of a bad situation, they tend to make claims that never get far as they
were protected against the company in the terms and agreements. This is why this paper aims to
analyze in detail the contract’s terms and conditions and explain legal aspects to provide answers
to ethical issues arising.
The history of Uber is significant to where they stand today, and where they will continue to
stand in the future. Uber is a company that emerged out of San Francisco. California, which
became one of the most successful transportation companies worldwide thanks to its innovative
methods that was rare at the time of emerging. They continued to stay relative and grow due to
providing easy to use services the benefitted the users with time and money. The party actually
carrying out the service is the third party and the user which facilitate the service.
This paper helped to provide a thorough analysis of all terms set forth that help in providing an
easier understanding of them as well as summarizes and explains each and every aspect of the
terms and conditions. I provide the description section and its relative analysis with relation to
specific legal concepts learnt, and to which specific section it can be applied to.
This paper also provides a problem scenario in which Uber is been involved with and its breach
of privacy and safety of its users. We will take a look at the scope of its seriousness and how it is
affected by the liability of the parties involved that are all laid out in the contract. We will
analyze the implications of specific scenarios presented by previous issues that Uber has been
involved with. The problem scenario presented takes a look into the event in which an Uber
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employees have been involved in cases where there has been a breach of the users privacy. News
issues reported about an Uber employee making a comment at an Influencers event for Buzzfeed
about how they are able to pull up whatever personal data they want whenever. Another similar
event occurred when another Uber employee was caught using personal information and data on
a Buzzfeed employee and Uber user in which he used to track and stalk her, yet the worker was
never fired. This sparked the ethical concern of whether or not Uber actually has a strict privacy
policy in place amongst many users.
Another safety and user concern issue were large legal implications against the safety of the
independent parties known as third party providers. As third parties are independently operated
under Uber and are said to be self-employed, many concerns regarding their legitimacy to work
under Uber after they multiple events of these Uber drivers killing/raping and causing personal
harm to passengers. Many legal cases were in question in relation to Uber’s involvement and the
concerning issue set out in their clauses that they are not to be held liable in these situations.
Many protested for the use of enhanced screening of all applicants of these third party providers,
as well as Uber being more present in this service process in order to prevent such issues.
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Description
For this section, we will take a look into the terms and conditions set out in specific clauses that
the Uber user must consent to in order to use the Uber Application. The clauses have most
recently been modified in December of 2019 and are divided into seven segments that are titled
under the following: (1) Contractual relationships, (2) The services, (3) Your use of the services,
(4) Payment, (5) Disclaimers; Limitation of liability; indemnity, (6) Governing law; arbitration,
and finally (7) Other provisions.
Clause 1. Contractual Relationship
● States that the user must consent to the terms stated if they wish to continue to use the
service provided by Uber, a private limited liability company
● If the user does not wish to agree to these terms, then they may not proceed to use the
services offered by Uber
● Agreeing to these terms is important as it allows Uber to take claim that the user has
agreed by using their services
● These terms take place of any previous agreements/arrangements with the user and can
be terminated by Uber with respect to the user at any time and for any reason; in other
words, Uber is not required to provide the user with their services if the user does not
respect their terms and conditions
● There may be supplemental terms that apply to certain services, such as policies for
certain events, like activity or promotion; events can include different service options that
are offered in relation to the original service
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● Supplemental terms will be disclosed to the user in connection with the applicable
services, therefore meaning the user will have access to these terms before they decide to
proceed with the following supplemental service
● Supplemental terms are in addition to, and shall be deemed a part of the terms of the
applicable service, in which these supplemental terms will prevail (more strength) over
these terms in the event of a conflict with respect to the applicable services
● Uber may amend the terms related to the services at any given time when it is required.
These changes will be effective once Uber has posted of these changes at the location or
the amended policies or supplemental terms of the given applicable service; continued
access or use of the services after such postings constitutes the users consent to be bound
by the given terms as amended
● Collection and use of personal information in connection with the services is as provided
in Uber’s privacy policy. Uber is able to provide to a claims processor or insurer if need
be, of any necessary information (such as contact information, data history, location, app
usage device data, and even data from other sources such as Uber partners and third
parties that use Uber APIs) in the event that there is a complaint, dispute, or conflict
linked to the user and a third party provider (can include an accident with a transportation
network company driver for example), and this information and data is a key contributor
to resolving the complains, disputes, or conflicts
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Clause 2. The services
● This section goes into detail about Uber’s technology platform that enables the use of
Uber’s mobile phone applications and/or websites that are provided as part of the service
that allow the user to arrange a schedule for transportation needs and/or logistic services
with an independent third party provider of such services, which can include independent
third party transportation providers and independent third party logistics providers whom
are under agreement with Uber as well as certain Uber affiliates
● If providers otherwise agreed by Uber in a separate written agreement with you the user,
the services are personalized and made available only for the user’s personal use, not for
commercial use whatsoever
● This section states in capital emphasize that the user acknowledges that Uber does not
provide transportation or logistic services or a function as a transportation carrier and that
all such transportation or logistic services are provided by independent third-party
contractors who are not employed by Uber or any of its affiliates
2.1. License
● This subsection states that subject to the user’s compliance with these terms, Uber grants
a limited, non-exclusive, non-sublicensable, revocable, non-transferable license to access
and use the applications on the user’s personal device in connection with the user’s
service
● Access to information and content, information, and related materials that are available
through the services in each case for the user’s personal use and non-commercial use
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● Any rights that are not expressly granted herein are reserved by Uber and Uber’s
licensors
2.2. Restrictions
● The user may not remove any copyright, trademark, or other proprietary notices from any
portion of the services
● May not reproduce, modify, or prepare derivative works based upon distribute, license,
lease, sell, resell, transfer, publicly display, publicly perform, transmit, stream, broadcast,
or otherwise exploit the services unless otherwise permitted by Uber; to say in other
words you may not breakdown pieces and create a similar service as that of Uber’s
● Decompile, reverse engineer, or disassemble the services except as may be permitted by
applicable law
● Link to mirror or frame any portion of the services, cause or launch any programs or
scripts for the purpose of scraping, indexing, surveying, or otherwise data mining any
portion of the services or unduly burdening/hindering the operation/functionality of any
aspect of the services is prohibited
● As well as attempt to gain unauthorized access to or impair any aspect of Uber’s services
and/or their systems and networks
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2.3. Provision of the Services
● The user must acknowledge that portions of the services may be made available under
Uber’s various brands or request options associated with transportation or logistics,
which includes the transportation request brands that are currently referred to as “Uber”,
“uberPOP”, “uberX,” “uberXL,” “UberBLACK,” “UberSUV,” “UberBERLINE,”
“UberVAN,” “UberEXEC,” and “UberLUX” as well as the logistics request brands
currently referred to as “UberRUSH,” “UberFRESH” and “UberEATS”
● This section also states that the user must acknowledge that the services may be made
available under such brands or request options by or in connection with certain of Uber’s
subsidiaries and affiliates, or independent third-party providers which includes
transportation network company drivers, transportation charter permit holders or holders
of similar transportation permits, authorization or licenses
2.4. Third Party Services and Content
● The services offered by Uber may be made available or accessed in connection with third
party services and content, which includes advertising, that Uber does not control
● User acknowledges different terms of use and privacy policies that may apply to the
user’s use of third-party services and content
● Uber does not endorse third party services and content and in no event will Uber be
responsible or liable for any products or services from these third parties
● The companies such as Apple inc., Google, Microsoft corporation or Blackberry Limited
and their international subsidiaries and affiliates will be third-party beneficiaries to this
contract if the user accesses the services using the applications developed for these third
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parties, such as Apple IOS, Android, Microsoft Windows, and Blackberry powered
mobile devices
● Third party beneficiaries are not parties to this contract and are not in any way
responsible for the provision or support of the services
● User’s access to the services using these devices is subject to the terms set forth in the
applicable third-party beneficiary’s terms of service
2.5. Ownership
● Services and all rights therein are and shall remain Uber’s property or the property of
Uber’s licensors
● Neither these terms nor the User’s use of services convey or grant to the user any rights in
or related to the services except for the limited licenses granted, or to use or reference in
any manner Uber’s company names, logos, product and service names, trademarks or
services marks or those of Uber’s licensors
Clause 3. Your Use of the Services
3.1. User Accounts
● This section details what is required by Uber in order for User’s to create an account. In
order to use most aspects of the available services, the user must register and maintain an
active personal user services account
● The user must be at least 18 years of age as applicable per Ontario Jurisdiction laws, and
of the legal majority if different jurisdiction in order to obtain an account
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● For the process of registration to be effective, it is required the user submit certain
personal information as required, which includes some of the following: name, address,
mobile phone number, age, and one valid form of payment such as a credit card or visa
card. This will help in validating that the user is financially capable of paying for the
service
● User must agree to maintain accurate, complete, and up-to-date information in their
account which they must update on their own. Failure to maintain accurate and updated
information, as well as having invalid or expired payment methods on file can result in
the inability to access the services provided by Uber as well as the termination of terms
between the two parties
● User is responsible for all activity under their account and must agree to maintain the
security of their own account, and secrecy of username and password always. User may
only possess one account unless otherwise permitted
3.2. User Requirements and Conduct
● Service is not available for anyone under 18
● User may not authorize third parties to use their account, nor allow persons under 18 to
receive transportation or logistic services from third party providers unless accompanied
by you the user
● The user may not assign or otherwise transfer your account to any other person or entity
● The user agrees to comply with all applicable laws when using the services for lawful
purposes (like no transport of unlawful and hazardous materials)
● The user is not allowed to cause nuisance, annoyance, inconvenience, or property damage
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● The user may be required to provide proof of identity in order to use services, and the
user must also comply when they are denied access to the use of services if they refuse to
provide proof of identity
3.3. Text Messaging
● The user must agree by creating an account that the services may send SMS texts
messages as part of the business operations as per the use of services
● The user may opt-out of receiving SMS texts messages from Uber at any time by
following directions
● The user must acknowledge that opting out of receiving text messages may impact their
use of the services
3.4. Promotional Codes
● Uber may in sole discretion, create promotional codes that may be redeemed by the user
for account credit, as well as other features and benefits related to the services and/or
third-party provider’s services, which will be subject to any additional terms that Uber
establishes on a promotional basis
● The user must agree that promo codes must be used for the intended audiences and
purpose and in a lawful manner, and may not be duplicated, sold, or transferred in any
manner nor made available to the general public unless expressly permitted by Uber and
may be disabled at any time for any reason without liability to Uber
● Codes can only be used pursuant to the specific terms that Uber establishes for that
promo code, and are not valid for cash and can expire prior to use
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● Uber reserves the rights to withhold or deduct credits or other features or benefits that are
obtained by the use of such Promo codes by the user or any other user in the event that
Uber determines or believes that the use or redemption of the code was in error, fraud,
illegal, or violation of the applicable promo code terms or these terms
3.5. User Provided Content
● Uber may permit users from time to time to submit, upload, publish, and/or otherwise
make available to Uber through services textual, audio, and/or visual content and
information, which includes commentary and feedback in relation to the services,
initiation of support requests, and submission of entries for competition and promo
purposes
● Any user content provided remains the users property, however, by providing Uber the
content, the user immediately grants Uber a worldwide, perpetual, irrevocable,
transferrable, royalty free license, with the right to sublicense, use, copy, modify, create
derivative works of, distribute, publicly display, perform, and otherwise exploiting any
manner user content in all formats and distribution channels now known or hereafter
devised (which does include connection with the services and Uber’s business and on
third party sites and services) without further notice to or consent from the user and
without requirement of payment to the user or anyone else
● Users represent the warrant that they are either the sole and exclusive owner of all user
content and have all rights, licenses, consents and releases necessary to grant uber the
license to the User content as set forth above, and neither the user content or submission,
uploading, publishing, or otherwise making available of such user content nor Uber’s use
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of the content as permitted will infringe, misappropriate, or violate a third party’s
intellectual property and its rights , or rights of publicity or privacy, or result in violation
of applicable law and regulation
● User must agree to not provide user content that is defamatory, libelous, hateful, violent,
obscene, pornographic, unlawful or otherwise offensive, as determined by Uber whether
or not protected by law
● Uber may but is not obligated to review, monitor, or remove user consent at Uber’s sole
discretion and at any time and for any reason without notice required to the user
3.6. Network and Access Devices
● The user is responsible for obtaining the data network access necessary to use the
services
● Mobile network data and messaging rates and fees may apply if the user accesses services
from a wireless enabled device and shall be responsible for the rates and fees imposed
● User is responsible for acquiring and updating compatible hardware or devices necessary
to access and use the services and applications as well as any updates
● Uber does not guarantee that the services or any portion of it will function on any
particular hardware or devices
● Services may be subject to malfunctions and delays inherent in the use of the internet and
electronic communications
Clause 4. Payment
● The user must understand that the services may result in charges to the user for the
services or good s received by a third-party provider
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● After the services are received, uber will facilitate your payment of the applicable charges
on behalf of the third-party provider such as the third-party providers limited payment
collection agent
● Payment of charges in such manner shall be considered the same as payment made
directly by the user to the third party. Charges will be inclusive of applicable taxes where
required by law. Charges paid by the user are final and non-refundable, unless otherwise
determined by Uber
● User retains the right to request lower charges from third-party provider at the time the
service is received. Uber will then respond to any request from a third-party provider to
modify the charges for the particular service requested
● All charges are due immediately and payment will be facilitated by Uber using the
preferred payment method designated in the users account, after which Uber will send a
receipt by email
● If the users primary account payment method is determined to be expired, invalid or
otherwise not be able to be charged, you agree that Uber may, as the third-party
provider’s limited payment collection agent, use a secondary payment method in your
account if available
● As between you and Uber, Uber reserves the right to establish, remove, and/or revise
charges for any or all services obtained through the use of services at any time in Uber’s
sole discretion. Further the user acknowledges and agree that charges applicable in
certain geographical areas may increase substantially during times of high demand
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● Uber will use reasonable efforts to inform the user of the charges that may apply,
provided that the user will be responsible for the charges incurred under their account
regardless of your awareness of such charges or the amounts thereof
● Uber may from time to time provide certain users with promotional offers and discounts
that may result in different amounts charged for the same or similar services or goods
obtained through the use of the Services, and you agree that such promotional offers and
discounts, unless also made available to the user, shall have no bearing on your use of the
Services or the Charges applied
● user may elect to cancel your request for services or goods from a Third Party Provider at
any time prior to the Third Party Provider’s arrival, in which case the user may be
charged a cancellation fee
● the payment structure is intended to fully compensate the Third Party Provider for the
services or goods provided except with respect to taxicab transportation services
requested through the Application, Uber does not designate any portion payments as a tip
or gratuity to the Third Party Provider
● Any representation by Uber (on Uber’s website, in the Application, or in Uber’s
marketing materials) to the effect that tipping is “voluntary,” “not required,” and/or
“included” in the payments you make for services or goods provided is not intended to
suggest that Uber provides any additional amounts, beyond those described above, to the
Third Party Provider
● The user understands and agrees that, while you are free to provide additional payment as
a gratuity to any Third Party Provider who provides you with services or goods obtained
through the Service, you are under no obligation to do so. Gratuities are voluntary. After
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you have received services or goods obtained through the Service, you will have the
opportunity to rate your experience and leave additional feedback about your Third Party
Provider
4.1. Repair or Cleaning Fees
● The user must be responsible for the cost of repair for damage to, or necessary cleaning
of, Third Party Provider vehicles and property resulting from use of the Services under
their Account in excess of normal “wear and tear” damages and necessary cleaning. In
the event that a Third Party Provider reports the need for Repair or Cleaning, and such
Repair or Cleaning request is verified by Uber in Uber’s reasonable discretion, Uber
reserves the right to facilitate payment for the reasonable cost of such Repair or Cleaning
on behalf of the Third Party Provider using users payment method designated in their
Account. Such amounts will be transferred by Uber to the applicable Third Party Provider
and are non-refundable.
Clause 5. Disclaimers; Limitation of Liability; Indemnity
5.1. Disclaimer
● The Services are provided “as is” and “as available.” This section states “Uber disclaims
all representations and warranties, express, implied or statutory, not expressly set out in
these terms, including the implied warranties or merchantability, fitness for a particular
purpose and non- infringement. In addition, Uber makes no representation, warranty, or
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guarantee regarding the reliability, timeliness, quality, suitability or availability of the
services or any services or goods requested through the use of the Services, or that the
service will be uninterrupted or error-free.”
● It also states Uber does not guarantee the quality, suitability, safety or ability of third
party providers and that the user agrees that the entire risk arising out of their use of
service and any service requested in connection, remains solely with the user to the
maximum extent permitted under applicable law
5.2. Limitation of Liability
● This section states in capital emphasize that Uber will not be liable for indirect,
incidental, special, exemplary, or consequential damage which includes lost profits, data,
personal injury or property damage related to, in connection with, or otherwise resulting
from any use of the services even if Uber has been advised of the possibility of such
damages
● Uber shall not be liable for any damages or losses arising from users use of or reliance on
the services of their inability to access or use the services, or any transaction or
relationship between you and the third party provider even if uber has been advised of
possibility of such damages
● Uber is not liable for the delay or failure in performance resulting from causes beyond
Uber’s reasonable control
● User acknowledges that the third party transportation providers that offer ridesharing
transportation services may not be professionally licensed or permitted, and in no event
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shall Uber’s total liability to the user in connection with the services with all damages
and losses of action exceed 500$
● Uber’s services may be used by you to request and schedule transportation services with
third party providers, but the user must agree that Uber has no liability to you related to
any transportation services provided by you by third party providers other than expressly
set forth in these terms
● Limitations and disclaimers in this section do not purport to limit liability or alter rights
as a consumer that cannot be excluded under applicable law
5.3. Indemnity
● The user agrees to indemnify and hold Uber and its officers, directors, employees and
agents harmless from any and all claims, demands, losses, liabilities, and expenses, which
include attorneys’ fees, arising out of or in connection with the user’s use of the Services
or services or goods obtained through your use of the Services; user’s breach or violation
of any of these Terms; Uber’s use of your User Content; or user’s violation of the rights
of any third party, including Third Party Providers.
Clause 6. Governing Law; Arbitration
● Unless otherwise stated in these Terms, these Terms shall be exclusively governed by and
construed in accordance with the laws of The Netherlands, excluding its rules on conflicts
of laws
● The Vienna Convention on the International Sale of Goods of 1980 (CISG) shall not
apply. Any dispute, conflict, claim or controversy arising out of or broadly in connection
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with or relating to the Services or these Terms, including those relating to its validity, its
construction or its enforceability shall be first mandatorily submitted to mediation
proceedings under the International Chamber of Commerce Mediation Rules
● If such Dispute has not been settled within sixty days after a request for mediation has
been submitted under such ICC Mediation Rules, such Dispute can be referred to and
shall be exclusively and finally resolved by arbitration under the Rules of Arbitration of
the International Chamber of Commerce. The ICC Rules' Emergency Arbitrator
provisions are excluded. The Dispute shall be resolved by one arbitrator to be appointed
in accordance with the ICC Rules
● The place of both mediation and arbitration shall be Amsterdam, The Netherlands,
without prejudice to any rights you may have under Article 18 of the Brussels I bis
Regulation (OJ EU 2012 L351/1) and/or Article 6:236n of the Dutch Civil Code
● The language of the mediation and arbitration will be in English unless the user does not
speak English, in which case it will be conducted in both English and the user’s native
language
● The existence and content of the mediation and arbitration proceedings, including
documents and briefs submitted by the parties, correspondence from and to the
International Chamber of Commerce, correspondence from the mediator, and
correspondence, orders and awards issued by the sole arbitrator, shall remain strictly
confidential and shall not be disclosed to any third party without the express written
consent from the other party unless the disclosure to the third party is reasonably required
in the context of conducting the mediation or arbitration proceedings; and the third party
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agrees unconditionally in writing to be bound by the confidentiality obligation stipulated
herein
Clause 7. Other Provisions
7.1. Claims of Copyright Infringement
● Claims of copyright infringement should be sent to Uber’s designated agent. Additional
information is found on Uber’s web page
7.2. Notice
● Uber may give notice by means of a general notice on the Services, electronic mail to
your email address to the user’s Account, or by written communication sent to the
address as set forth in the user’s Account. You may give notice to Uber by written
communication to Uber's address at Mr. Treublaan 7, 1097 DP, Amsterdam, The
Netherlands
7.3. General
● User may not assign or transfer these Terms in whole or in part without Uber’s prior
written approval. User must give approval to Uber for it to assign or transfer these Terms
in whole or in part, including to a subsidiary or affiliate, an acquirer of Uber’s equity,
business or assets, or a successor by merger. No joint venture, partnership, employment
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or agency relationship exists between you, Uber or any Third-Party Provider as a result of
the contract between you and Uber or use of the Services
● If any provision of these Terms is held to be illegal, invalid or unenforceable, in whole or
in part, under any law, such provision or part thereof shall to that extent be deemed not to
form part of these Terms but the legality, validity and enforceability of the other
provisions in these Terms shall not be affected
● In that event, the parties shall replace the illegal, invalid or unenforceable provision or
part thereof with a provision or part thereof that is legal, valid and enforceable and that
has, to the greatest extent possible, a similar effect as the illegal, invalid or unenforceable
provision or part thereof, given the contents and purpose of these Terms. These Terms
constitute the entire agreement and understanding of the parties with respect to its subject
matter and replaces and supersedes all prior or contemporaneous agreements or
undertakings regarding such subject matter. In these Terms, the words “including” and
“include” mean “including, but not limited to.”
Application of legal principles
We have analyzed and discussed the legal system that Canada embodies which is referred
to as the common law. This system is defined by a collection of rules and regulations that has
evolved over the past decades into a system that is derived from past precedents. In the context
of Uber, they have obliged to the Canadian common law system by taking legal principles into
account in order to minimize business risks from a legal standpoint, such as terms to provide
answers and conclusions regarding resolution disputes conflicts, and other legal issues that may
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arise between the service user and Uber as well as third parties involved. Uber does periodic
modifications to their terms and agreements as there is constant updates to the legal systems as
more and more cases come up, especially with the unforeseeable future events of newer
companies such as Uber.
Over the duration of this course, we have gone in detail about the importance of the legal
system in relation to the corporate world. Users of service providers such as Uber, hardly skim
over the terms and agreements when purchasing a good or service, let alone don’t even read a
word. This causes individuals to hold a weak case when it comes to protecting themselves
against legal dilemmas which ties in heavily to the main purpose of the course concept with legal
liability. The purpose of Uber’s terms and conditions is to ensure that Uber protect themselves
from consumers who may claim that they were not aware of Uber’s terms and conditions if a
situation were to occur. Before presenting the terms, Uber states in emphasize that the user must
read the terms carefully before accessing or using the services provided. Accountability is held
on the user’s end as Uber did their part to make the consumers aware of any misconceptions
prior to the use of services and goods. These guidelines also help to ensure that the third parties
involved (such as transportation) are legally protected against any harmful acts, or violations
than can occur by users which helps Uber to be deemed as a more trustworthy, reliable service in
the case of legitimacy.
A large topic covered in class as well as the text is Liability. Liability as defined per the
notes is the state of a person being legally responsible for someone or something as per the law.
The purpose of legal terms and agreements is to ensure that all parties are held liable throughout
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the service process in case anything were to be misunderstood or misused, as well as solutions to
when accidents occur. Service providers must legally ensure that consumers are able to protect
themselves in any case scenario, in which Uber will take no liability throughout the process of
the user consuming their service throughout the process of app usage, transportation services,
goods received (such as UberEATS) and so on. Referring back to class material, there are three
forms of liability discussed, which are legal liability, public liability, and product liability.
Legal liability can be defined as the obligation to pay debts, which can be applied to Uber’s
clause 4 titles Payment, in which all the payment requirements on the end of the User are laid
out. The user is legally held liable to ensure correct information is updated at all times for
payment purposes, and if expired Uber is entitled to use secondary payment methods if available.
Public Liability is defined as part of tort law which focuses on civil wrongdoings in which case
the respondent is usually sued under the common law based on negligence and/or damages. The
fault will fall on the user who is held responsible for their actions and duty of care of themselves
and/or property. This can be applied to clause 5, in specific 5.2 titled Disclaimers; Limitation of
Liability; and Indemnity in which this section details how Uber is not to be held liable in the
case of any damages, personal injury, property damage, etc., in which the users are responsible
between themselves and the third party in the case if this situation to occur. This protects Uber
from being held accountable and caught up in legal issues.
Another legal principle covered in class is another concept that was covered throughout
the duration of this course. An Agency can be defined as one person (the principle) authorizes
another person (the agent) to represent them and carry out actions on their behalf. There is the
means of consent that the partner must take in order for the other party to be able to act out. In
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this case the agents are working on behalf of the principle that hold a relationship with the third
party. The agents involved hold many responsibilities in order to maintain legal order, and if this
agent fails to do so then they could face legal issues in the event of not being able to meet and
maintain their legal duties. In class, some of the obligations that agents are required to uphold
are: fiduciary authority, actual authority, and full disclosure of material information. Their
definitions are outlined below:
1. fiduciary authority – the fiduciary is held liable for the control and assets of another
person(s). In most cases this is expressed for the use of finances, and in the terms and
conditions set forth by Uber, Uber is the fiduciary for Users in which they control and
facilitate the payment between the user and the third party. In clause 4, it is
specifically stated that “Uber will facilitate your payment of the applicable Charges
on behalf of the Third-Party Provider as such Third-Party Provider’s limited payment
collection agent”
2. Actual authority – actual authority can be defined as the specific powers conferred
by a principle to an agent to act on the principles behalf, power can be general power
or as well a limited power. In this case the actual authority is the third party having
been granted the authority by Uber to act on their behalf
3. Full disclosure of material information – this is defined as the requirement business
operators, such as Uber in this case, are legally requires by law to report and provide
to consumers all necessary information. It is to provide for the free exchange of
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material facts relative to the ongoing business operations. In this case the full
disclosure is the terms and conditions set forth by Uber that users must agree to prior
to receiving the service transaction
The agents are responsible for their fiduciary duty, meaning that a person is held with
trust to act on behalf of the party as needed. The textbook lays out three categories of these
agents. Which are listed below:
1. Agency by Estoppel – this is defined as the principle to hold out to a third party that
the other is authorized to act on the principle’s behalf, and the third party will deal
with the other person accordingly. In the case of Ubers terms and principles it applies
to a person being prevented from making assertions or going back on their word as
the conditions are set forth in the terms and conditions
2. Agency by Ratification – this is defined as the agency relationship that comes up
when principle acknowledges the acts of the party as being the acts of their agent
even if there was not necessarily an agent relationship when the agent acted; in other
means the agency is created but exceeded their actual authority
3. Agency by Necessity – defined as a relationship evolving out of urgency or an
emergency in which the agent will act on behalf of the principle without having to
receive authorization in the means of protecting the principle from harm and act in
their best interest. This can be applied in the case of a user or third party being in the
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way of harm if certain unforeseen situations and conflicts were to occur throughout
the process of the user receiving the service and the third parties involved
In addition to the agency theory, as mentioned briefly above, there is also the principle
party involved. We define the principle as a person or entity who is in charge of hiring the agent
in which they trust them and hold them responsible for making decisions in their self-interest as
the principle. The principle holds duties such as the following for example:
1. Indemnifying against losses: It is defined as the security and protection against any
losses as well as security from legal liability of ones actions. This relates to clause 5.3
titled indemnity, in which the principle (the user) must: “agree to and hold Uber and
its officers, directors, employees and agents harmless from any and all claims,
demands, losses, liabilities, and expenses (including attorneys’ fees) arising out of or
in connection with: (i) your use of the Services or services or goods obtained through
your use of the Services; (ii) your breach or violation of any of these Terms; (iii)
Uber’s use of your User Content; or (iv) your violation of the rights of any third
party, including Third Party Providers.”
2. Pay the agent for the actual fees of their service: this is set out in Clause 4 titled
Payment, in which all the details and terms for the principle is set out for the agent
In class we also discussed the legal concept of damage, which is a concept set forth in Uber’s
terms and conditions. Uber ensures the legal protection of themselves in the case of a consumer
making claims against the company for damage purposes. There are many uncontrollable factors
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out of Uber;s control in which it can leave the user dissatisfied with their use of the service. This
can be things such as delay of service due to traffic for example. Cases like this can cause the
consumer to file a complaint, which is why Uber has specified that they are not to be held liable
in such uncontrollable cases. This is specifically stated in Clause 5.2. Limitation of Liability in
which this subsection reads “UBER SHALL NOT BE LIABLE FOR INDIRECT,
INCIDENTAL, SPECIAL, EXEMPLARY, PUNITIVE OR CONSEQUENTIAL DAMAGES,
INCLUDING LOST PROFITS, LOST DATA, PERSONAL INJURY OR PROPERTY
DAMAGE RELATED TO, IN CONNECTION WITH, OR OTHERWISE RESULTING FROM
ANY USE OF THE SERVICES, EVEN IF UBER HAS BEEN ADVISED OF THE
POSSIBILITY OF SUCH DAMAGES. UBER SHALL NOT BE LIABLE FOR ANY
DAMAGES, LIABILITY OR LOSSES ARISING OUT OF: (i) YOUR USE OF OR
RELIANCE ON THE SERVICES OR YOUR INABILITY TO ACCESS OR USE THE
SERVICES; OR (ii) ANY TRANSACTION OR RELATIONSHIP BETWEEN YOU AND ANY
THIRD PARTY PROVIDER, EVEN IF UBER HAS BEEN ADVISED OF THE POSSIBILITY
OF SUCH DAMAGES. UBER SHALL NOT BE LIABLE FOR DELAY OR FAILURE IN
PERFORMANCE RESULTING FROM CAUSES BEYOND UBER’S REASONABLE
CONTROL”. We can see how the concept of damages is key concept laid out in Uber’s terms to
ensure that the user is aware of cases in which their personal property, or themselves, is
damaged. Referring back to class material, we looked at different types of damage. They are
listed as follows:
1. Pecuniary damages – this is defined as compensation damages or losses. This can be
applied to Uber in the case of a collision occurring during an Uber ride and there comes a
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loss to do destruction of vehicle, medical bills, and so on. This is also protected in clause
5.2. in the case of personal injury and damage, and will be between the user and the third
party involved.
2. Non-pecuniary damages – these are defined as damages that cannot be defined in
monetary terms. This can be in the case of pain and suffering which can be caused by an
incident
3. Punitive damages – this is defined as the damages being assessed in order to punish the
defendant for bad conduct and this defendant being in the wrong is obligated to pay on
top of compensatory damages.
4. Aggravated damages – aggravated damages are available as additional compensation if
the insured establishes a breach of the contract that caused him or her mental distress. An
example of this in relation to Uber could be a collision during an Uber ride that caused
this person to claim that they are mentally distressed and will never be able to drive or
ride a vehicle again, which Uber protects them self against in clause 5 for example, of
them not being held liable for this incident
Another point I feel is important in the context of Uber’s terms and conditions is the
concept discussed in class being Torts. Tort can be defined as a “wrongful act or
infringement of a right that unfairly causes the party to suffer a loss or harm”. These harmful
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acts can result emotional and mental distress, and financial harm. There are two types
discussed, which are intentional and unintentional torts. They are defined as follows:
1. Intentional: includes assault, false arrest, trespassing and more
2. Unintentional: duty of care, causation, negligence and more
The importance of Torts is covered in Uber’s terms and conditions in order to protect themselves
against any claims that may take place resulting a user claiming they have physical/mental
distress due to an outcome of the service provided by Uber and third parties.
The last concept I believe applies to these terms as studied in class is the concept of
confidentiality. As an online based service that is monitored heavily through the use
applications on various cellular devices, Uber does require that the User input and update
their personal information. In clause 3 titled Your use of the services, uber specifies that the
user must “submit to Uber certain personal information, such as your name, address, mobile
phone number and age, as well as at least one valid payment method (either a credit card or
accepted payment partner). You agree to maintain accurate, complete, and up-to-date
information in your Account”. There is ongoing debate regarding the use of personal
information on web applications and the risk of identity theft and fraud taking place with the
accidental leak of information. This is where the concept of confidentiality roles into place in
order to benefit the security of both parties set forth in the terms, which would be Uber and
the user of the service in this case. In clause 1 it states “Uber may provide to a claims
processor or an insurer any necessary information (including your contact information) if
there is a complaint, dispute or conflict, which may include an accident, involving you and a
Third Party Provider (including a transportation network company driver) and such
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information or data is necessary to resolve the complaint, dispute or conflict” which allows
Uber to access your personal information in case of emergency or a legal issues that requires
them to pull out data and information on you the user if need be. Aside from this case, all of
the user’s information will remain private and not accessed to uphold the legal principle of
confidentiality.
Recommendations and Lessons learned
The main purpose of this assignment is to make one self-aware to ensure that they do
read the terms and conditions prior to purchasing a service or a good. In class, Professor.
Levasseur constantly encouraged us to make sure and be more aware of reading terms and
conditions set forth. In almost all cases will the user just scroll past the terms and click the
button “I agree” without having read a single word. Even so, if the user does take some time
to merely “skim” over the document – they do not actually give themselves time to retain and
understand the information set forth. It’s extremely important for consumers of goods and
services to understand their liability in the transaction being carried out. Most of the time,
consumers believe organizations are held liable for every aspect of the process, whether it be
damages of services or goods, personal injury, property, damage, and much more that
individuals tend to blame the organizing party for because they do not self-educate
themselves about the terms and policies set into place. I believe it is also important for Uber
to ensure that the proper communication is in place to educate their consumers about their
duties and responsibilities as a consumer of the service. I believe communication and legal
awareness is super important for all goods and service providers to put into effect. By
communicating the importance of reading and self-educating oneself about the importance of
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the terms and conditions; Uber can mitigate the risks and continue on with a very positive
and well-structured service environment.
Throughout the writing of this report on the terms and conditions set forth by Uber, there
were many problems with clarity in my opinion. Below I have outlined five
recommendations I believe will help with the issue of users not reading and understanding
the terms if so.
1. The first recommendation I would like to make is clause 1, in specific the point in the
last paragraph where they state “Our collection and use of personal information in
connection with the Services is as provided in Uber’s Privacy Policy located
at https://www.uber.com/privacy/notice”. I do not believe linking another section of
the terms as a separate notice is very effective in making the users aware of the full
conditions as they are most likely to skim let alone not read the conditions in the user
agreement already. This can be taken as the user claiming the terms are “hidden” and
not easy to access which made them unaware, and can give the users an impression
that Uber is deceiving in terms of protecting the users privacy
2. The second recommendation I have is to specify the exact meaning of third party
provider. User’s can find themselves confused with which party is who, so I believe
Uber should add a definitions sections in which they provide meaning for the terms in
the terms
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3. My third recommendation is the generalization of these terms and conditions with
respects to clause 5.2, in which the liable amount of damages, losses, and causes of
actions are set in Euro dollars (500 euros). I recommend Uber be able to provide the
same terms and conditions yet specifically applicable to their region
4. Photos can be a helpful way to get consumers to read over the terms and conditions
agreement as pictures are used as an attractive method to draw readers to sit and
analyse more in depth.
5. Last but not least my final recommendation is Uber not placing all liability regarding
accidents on the third party provider. This can be slightly understood in the sense that
Uber did not provide the third party with the additional needs and resources of
prevention. I recommend Uber has a heavy screening method installed that will also
be available to the users to see for the purpose of transparency.
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Problem Scenario
In 2014, the leakage of news regarding an Uber employee at a dinner for influencers who
made a statement that the company could, if they wanted to, mine out personal information on
reporters that are critical to the company. A BuzzFeed reporter then reported that comment, and
the public started to raise their suspicions.
Around the same time, there was also a BuzzFeed report that a New York city Uber
executive had tracked one of BuzzFeed’s tech reporters without her permission or knowledge,
and this is a breach of Uber’s privacy policy (the separate link to another page in which I
discussed in my recommendations). There then occurred an investigation against the breacher,
who was looked into for the sole purpose of harassment and spying on this Buzzfeed reporter, in
which Uber has only disciplined this individual for his action, but allowed him to maintain his
job (Kosoff, 2020).
In addition, there have been many events of unpredictable drivers, The Uber driver in San
Francisco has been charged with vehicular manslaughter after killing a six-year-old girl on New
Year's Eve of that previous year. A few months later, another Uber driver was accused
of hitting a passenger in the head with a hammer and driving away (Kasoff, 2020).
Corporations are always working to ensure that they are not seen as the “bad guys” in any
given situations. They will ensure that everything possible is done to stay on top of competition
and continue to generate as much profits as possible. There is always the case of the company
finding loopholes within their own terms and conditions in order to remove themselves in the
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face of being held legally liable. But also in Uber’s defence, it is not fair whatsoever to always
doubt that some users are only using the service to commit wrongdoings. It can if anything
worsen their public image in a sense of users feel as though they are being attacked or over
analyzed by the company if the company were to run extra security checks, which is more
difficult to do even over device applications.
An article by Insider states “The list of stories about Uber drivers behaving badly goes on. It's
not unique to Uber — taxi drivers don't always have a totally clean track record, either — but
city taxis aren't in the public eye like Uber is. Additionally, city taxi services usually don't
promote themselves with the same level of security screenings that Uber promises to hold its
drivers to.
Some customers who say they've been assaulted by drivers are taking legal action. A woman
who was allegedly raped and beaten by her Uber driver in Delhi, India, is suing the company in
US court. While Uber has the money and time to deal with lawsuits, they could still take a toll on
the company” (Kasoff, 2020). The amount of misfortunate events occurring between the
harassment and abuse policies resulting in self harm by Ubers third party providers have
decreased the companies reputation, yet for some reason Uber still continues to dominate the
ride-sharing industry.
Uber should continue to implement new and improved systems with enhanced artificial
intelligence in order to ensure that user privacy information is not to be wrongly accessed by
anyone for personal reasons. They must also ensure enhanced screening procedures are in effect
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to insure that the third parties are trustworthy and capable of carrying out their end of the service
transaction without harm to the user.
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References
All information, definitions, and terms applied are taken from class notes as well as the
textbook for this class.
Link to provisions:
https://www.uber.com/legal/en/document/?name=general-terms-of-use&country=canada&lan
g=en
Kosoff, M. (2015, February 08). Uber's nightmare scenario: How everything could go wrong for
the world's hottest new company. Retrieved from
https://www.businessinsider.com/how-everything-could-go-wrong-for-uber-2015-2#its-drivers-c
an-also-be-a-liability-for-the-company-3
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