Amazon, Uber and Instacart sue New York City to block delivery worker deactivation law

Amazon, Uber and Instacart filed a federal lawsuit in Manhattan seeking to block a New York City law that would require platforms to justify and notify workers before deactivating them. The companies argue the rule violates their free‑speech and due‑process rights and would hinder safety and operational decisions. They are requesting a preliminary injunction to stop the law from taking effect.

If the companies obtain an injunction, the law’s enforcement will be delayed, preserving their current ability to deactivate workers without the new procedural requirements. Conversely, if the law is upheld, the platforms will have to change their deactivation processes, potentially increasing compliance costs and affecting how they manage safety and fraud risks.

  • 1The law is scheduled to take effect in January 2027.
  • 2The companies filed their complaint in U.S. District Court for the Southern District of New York on Wednesday.
  • 3The lawsuit seeks a preliminary injunction to prevent the law from being enforced while the case proceeds.

Sources