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Lyft and Uber on Thursday lost an appeal to extend a 10-day stay on an injunction granted by a San Francisco Superior Court judge Monday.
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The countdown to a ride-hailing shutdown is on in California after a judge on Thursday denied appeals by Uber Technologies Inc. and Lyft Inc. to extend a stay of an injunction ordering the ride-hailing giants to classify their drivers as employees.
On Wednesday, Uber UBER, -1.20% and Lyft LYFT, -5.37% said they would shut down ride-hailing services in the state if they lost their appeals to extend the stay.
“I am unconvinced that any extension of the 10-day stay is required,” Judge Ethan Schulman said Thursday in denying the extension. He ruled Monday that the companies must classify their drivers as employees, not independent contractors, to comply with Assembly Bill 5, a California law that was passed last year and became effective Jan. 1.
See: Uber and Lyft must make drivers employees because California law has ‘overwhelming’ edge, judge says
A Lyft spokeswoman said Thursday the company will file to extend the stay with a state appeals court, and that if it is unsuccessful, the company will suspend operations in California. Uber has not returned a request for comment.
