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Uber’s Arbitration Clause: A Ticket to Trouble for Injured Riders
Can Fine Print Take a Bigger Bite Than Your Uber Eats Order?
In a world where a quick tap can summon dinner to your doorstep, the implications of that tap may extend far beyond a tasty meal.
A recent court decision out of New Jersey has thrust a family into a legal battle that has taken unexpected—and lasting—turns.
It all started with an Uber Eats order, but ended with an accident that altered lives.
And now, at the heart of the matter is a question: can a minor’s order for food lock her parents into a legal arbitration they never saw coming?
A Case of Terms and Conditions – and Conditions of Injury
John and Georgia McGinty of Mercer County, New Jersey, were struck by the aftermath of a T-bone car crash in 2022.
The crash, which occurred while they were passengers in an Uber, resulted in serious injuries and an even more complex legal fight. Yet, it wasn’t just the crash that caused their pain—Uber’s terms and conditions added an unexpected twist.
The McGintys filed a lawsuit in early 2023, seeking compensation for the severe physical, emotional, and financial toll the accident had taken on them.
But their lawsuit hit an unexpected roadblock.
Uber argued that they could not be sued, pointing to an arbitration clause buried in their terms of service. The clause—initially agreed to by Georgia in 2015—had seemingly been reaffirmed multiple times over the years.
The catch?
The couple claimed their daughter had been the one to click “accept” while placing an Uber Eats order in early 2022, not Georgia herself.
When “Yes, I Agree” Becomes a “No” to Court
The New Jersey appeals court sided with Uber, enforcing the arbitration clause despite the McGintys’ objections. In doing so, the court essentially ruled that Georgia had agreed to the terms of service—whether by her own hand or by proxy through her daughter.
For the McGintys, this meant their legal case could not be heard in a court of law but must be settled quietly through arbitration, behind closed doors.
The McGintys’ attorney, Mike Shapiro, expressed frustration with the ruling. “Uber has just been extremely underhanded,” he told NPR. “This case shows how these types of agreements can strip away rights before people even realize what they’ve agreed to.”
A Slippery Slope: How Far Will Arbitration Go?
The McGinty case isn’t just about one family. It raises broader questions about the reach of arbitration clauses and how easily they can slip into everyday life.
Whether you’re ordering dinner or streaming a movie, that tiny checkbox could have significant legal ramifications.
Mike Shapiro warns that this case could set a dangerous precedent. “What’s next? Signing away rights because you’re part of a store loyalty program or because you used a rideshare service once?” he said.
These concerns aren’t far-fetched. Shapiro points to a similar case involving Disney, where a man’s wrongful death lawsuit was nearly stifled due to an arbitration clause he’d agreed to while signing up for Disney+. Disney eventually withdrew their arbitration push after a public backlash, but it’s clear that companies are exploring how far these agreements can be stretched.
For the McGintys, the fight isn’t over. They’re considering bringing the case to New Jersey’s Supreme Court, hoping for a reversal. As they seek to recover from their injuries, both physical and legal, the case serves as a reminder: when it comes to arbitration, the fine print can be more than just a formality—it can change lives.
Arbitration Agreements: What You Should Know
As more companies embed arbitration clauses into their terms of service, consumers are being asked to give up their rights to a court hearing without even realizing it.
Arbitration often favors corporations, offering them a way to handle disputes quietly and without the same level of scrutiny that a courtroom brings.
The next time you click “I agree,” be sure to know exactly what rights you may be waving goodbye to.
In the case of the McGintys, an Uber Eats order set off a chain of events they never anticipated. With their legal battle ahead, they’re left wondering how many other consumers are unknowingly caught in the web of arbitration agreements, unable to pursue justice in a court of law.
And perhaps the biggest question of all: if people truly understood the consequences of that simple click, would they hesitate before ordering their next meal—or hailing their next ride?
