Baker Sterchi's Josh Davis Shares Insights on Rideshare and Gig Industry Challenges

Baker Sterchi Member Josh Davis recently participated in a panel discussion hosted by BMO Capital Markets titled "Impact of Risk and Insurance on the Rideshare and Gig Industry.” During the panel presentation, Davis provided insights into shifting plaintiffs' strategies, the impact of significant verdicts and settlements, and emerging trends in litigation funding.

Regarding plaintiffs' strategies, Davis observed, "The plaintiffs’ bar in this space is highly organized, actively sharing tactics and ideas about what works against companies across various jurisdictions." He further highlighted that "plaintiffs' attorneys are increasingly focusing their energy on the operating companies, utilizing unique claims such as labeling apps as 'products' rather than services."

In terms of verdicts and settlements, Davis noted a post-pandemic change in jury sentiment. He explained, “Growing distrust in corporations is on the rise, amplified by the polarizing effects of social media. Inflation and rising costs have also played a role. Jurors are now more inclined to offer higher numbers as they perceive elevated costs across the board.”

Davis also underscored the rising significance of litigation funding in recent years. He remarked, “There has been a concerted effort within the litigation funding realm to identify claims against rideshare companies.” He elaborated on this trend, pointing to the advertising strategies employed by the plaintiffs’ bar.