Access Living of Metropolitan v. Uber Technologies, Inc.

CourtCourt of Appeals for the Seventh Circuit
DecidedMay 5, 2020
Docket19-2116
StatusPublished

This text of Access Living of Metropolitan v. Uber Technologies, Inc. (Access Living of Metropolitan v. Uber Technologies, Inc.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Access Living of Metropolitan v. Uber Technologies, Inc., (7th Cir. 2020).

Opinion

In the

United States Court of Appeals For the Seventh Circuit ____________________ No. 19‐2116 ACCESS LIVING OF METROPOLITAN CHICAGO, et al., Plaintiffs‐Appellants, v.

UBER TECHNOLOGIES, INC., et al., Defendants‐Appellees. ____________________

Appeal from the United States District Court for the Northern District of Illinois, Eastern Division. No. 1:16‐cv‐9690 — Manish S. Shah, Judge. ____________________

ARGUED DECEMBER 9, 2019 — DECIDED MAY 5, 2020 ____________________

Before EASTERBROOK, ROVNER, and SCUDDER, Circuit Judges. SCUDDER, Circuit Judge. Whether the Americans with Dis‐ abilities Act’s public accommodation provisions apply to ridesharing companies like Uber is unsettled. The lawsuit un‐ derlying this appeal presents that question and the many complexities that come with considering Uber’s business model and the discrimination proscribed by the ADA. Before us are antecedent questions about whether certain plaintiffs— 2 No. 19‐2116

a disability rights advocacy organization called Access Living as well as an individual named Rahnee Patrick—have alleged injuries sufficient to show Article III standing and to state causes of action under § 12188(a)(1) of Title III of the ADA. The district court answered no for both plaintiffs. We affirm. I A Uber operates ridesharing applications that connect cus‐ tomers seeking private transportation with providers of those services. Founded in 2009, the company has experienced ex‐ plosive growth, going public in 2019 and reporting annual consolidated revenue of $14.1 billion. For many today, “call‐ ing an Uber,” as the lingo goes, has become commonplace and preferred over traditional taxi services. Though Uber does not own or select their drivers’ vehi‐ cles, its app presents riders with options. Many will choose standard sedans, premium cars, or SUVs. Others, however, may need a specialized vehicle. Customers restricted to mo‐ torized wheelchairs need wheelchair accessible vehicles, or WAVs—vehicles equipped with ramps and lifts. Uber’s app offers that option as well. Access Living is a Chicago‐based nonprofit organization formed to protect and advance the civil rights of people with disabilities, including by helping them live independently. Fourteen percent of the organization’s staff and 20 percent of its board members are wheelchair users who require a WAV. Access Living and three of its staff members or volunteers, Michelle Garcia, Justin Cooper, and Rahnee Patrick, brought this lawsuit in October 2016. The individual plaintiffs would like to use Uber to order WAVs for rides to meetings and No. 19‐2116 3

advocacy events in Chicago. Access Living reimburses its em‐ ployees for these business‐related travel costs and, in further‐ ance of its broader mission, promotes access to equivalent travel services for all individuals who use motorized wheel‐ chairs. The Americans with Disabilities Act prohibits discrimina‐ tion based on disability in “major areas of public life, among them employment (Title I of the Act), public services (Title II), and public accommodations (Title III).” PGA Tour, Inc. v. Mar‐ tin, 532 U.S. 661, 675 (2001). The plaintiffs brought their claim under Title III, which defines a “public accommodation” to include a “travel service.” 42 U.S.C. § 12181(7)(F). They allege that Uber, as a travel service and thus public accommodation, discriminates against people with disabilities by failing to en‐ sure equal access to WAVs for motorized wheelchair users. This disparity occurs, the plaintiffs contend, because Uber fails to ensure the availability of enough drivers with WAVs, instead outsourcing most requests for wheelchair accessible rides to local taxi companies. As a result, plaintiffs say, mo‐ torized wheelchair users experience longer wait times and higher prices than other Uber customers. Access Living and the individual plaintiffs seek injunctive relief and a declaration that Title III of the ADA requires Uber to provide equivalent services to customers requiring a WAV. For its part, Uber contends that its ridesharing technology— being altogether different from a physical structure like an of‐ fice building, hotel, or restaurant—is not a “public accommo‐ dation” within the meaning of Title III and thus is not subject to any equal access mandate imposed by the ADA. 4 No. 19‐2116

B No circuit court has addressed whether the ADA’s Title III public accommodation provisions apply to companies oper‐ ating ridesharing technology, to say nothing of Uber’s alleged violation of the statute. This appeal does not require us to be the first. The question presented is more limited: whether Ac‐ cess Living as an organization and Rahnee Patrick as an indi‐ vidual have alleged facts to establish Article III standing and to state a cause of action under Title III of the ADA. The dis‐ trict court held that the other two individual plaintiffs, Michelle Garcia and Justin Cooper, have stated claims, and no aspect of this appeal challenges that decision. Indeed, both of those plaintiffs later settled with Uber. In a December 2018 order and opinion, the district court granted Uber’s motion to dismiss Access Living and Rahnee Patrick as plaintiffs. See Access Living of Metro. Chicago v. Uber Techs., Inc., 351 F. Supp. 3d 1141, 1159 (N.D. Ill. 2018). The court concluded that Patrick did not plead the requisite in‐ jury‐in‐fact for Article III standing and Access Living failed to allege facts to state a cause of action under § 12188(a)(1) of Ti‐ tle III of the ADA. See id. at 1150, 1153–54. In a subsequent order entered in April 2019, the court denied requests from Patrick and Access Living to amend their complaint, conclud‐ ing that any amendment would be futile in light of the specific allegations they proposed adding to the case. The court like‐ wise denied a request by both plaintiffs to expand the scope of the complaint to cover ridesharing requests beyond the City of Chicago to include suburban communities. The dis‐ trict court saw this proposed amendment as coming too late in the litigation—on the eve of discovery closing—to be per‐ mitted. No. 19‐2116 5

Access Living and Patrick now appeal the district court’s final decision denying them leave to amend. II A Access Living is a nonprofit organization that coordinates services and programs and advocates for people with disabil‐ ities. As a “center for independent living,” the organization receives federal funding under the Rehabilitation Act of 1973. See 29 U.S.C. § 796. Like other centers, Access Living supports people with disabilities by providing “core services,” such as training on independent living skills. Id. § 705(17)(B). The or‐ ganization also broadly promotes “equal access” for those with disabilities “to all services, programs, activities, re‐ sources, and facilities.” Id. § 796f‐4(b)(1)(D). Access Living’s advocacy efforts extend to transportation services. In 2012 the organization successfully campaigned for a Chicago ordinance requiring more wheelchair accessible taxis. It has since turned its attention to ridesharing compa‐ nies like Uber, which it alleges are “now a significant part of our national transportation system and are positioning them‐ selves to be an indispensable part of the transportation sys‐ tems of the future.” In 2016 Access Living advocated for an amendment to a Chicago ordinance to require ridesharing companies to provide equivalent services for wheelchair us‐ ers. While the effort failed before the City Council, Access Liv‐ ing continues to press for change, including through litiga‐ tion.

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