By Elena Vasquez

The Justice Department sued Lyft on Monday in a $53 million case alleging the ride-hailing company and its drivers discriminated against passengers with disabilities, including travelers with service animals and riders using stowable wheelchairs.

The suit, filed in the U.S. District Court for the Northern District of California, seeks $53 million on behalf of people with disabilities who complained to Lyft or the department, DOJ said. The demand includes a civil penalty.

What does the Justice Department allege?

The complaint alleges that Lyft and its drivers refuse rides to passengers with service dogs and stowable wheelchairs. It also says the company bills cancellation fees to riders after denying them a ride.

DOJ further alleges that Lyft declines to modify its policies where needed, including by denying riders with mobility disabilities the option to sit in the front seat.

The department's legal theory rests on Title III of the Americans with Disabilities Act of 1990, which DOJ says prohibits private transportation companies from discriminating on the basis of disability. The alleged refusals, cancellation fees and front-seat policy form the core of its civil-rights claim.

Acting Assistant Attorney General Jesus A. Osete of the Justice Department's Civil Rights Division said: “Individuals with disabilities should be able to rely on rideshare services free of discrimination. We intend to uphold the ADA's promise that people with disabilities are entitled to equal access in every part of public life, including essential transportation services.”

What relief does the government seek?

DOJ asks the court to impose prospective relief as well as financial penalties:

• Order Lyft to halt the alleged discriminatory conduct.
• Require Lyft to bring its policies into line with the ADA.
• Require legal instruction for employees and drivers.

The $53 million monetary demand therefore sits alongside an order that could compel operational and policy changes, not just a financial payment. For Lyft, the requested remedy reaches driver conduct, corporate accessibility rules and internal guidance.

U.S. Attorney Craig H. Missakian for the Northern District of California said DOJ would devote all the resources necessary to the allegations, comparing the case with the government's action against Uber for similar discriminatory conduct.

What does Lyft say?

Lyft rejects the allegations. In a statement reported by Reuters, the company said: “We have long-standing policies requiring drivers to accommodate riders who travel with service animals or use foldable mobility devices, and drivers who violate these policies face serious consequences, including permanent deactivation.”

Lyft also said it cooperated with DOJ during the department's review. Its defense therefore centers on written policies requiring accommodation and penalties for violations. The company says drivers can be permanently deactivated; DOJ says those same rules did not prevent riders with disabilities from being refused.

The disagreement centers on the gap between stated policy and alleged conduct. DOJ says Lyft and its drivers refused accessible rides, charged cancellation fees and denied riders with mobility disabilities the option to sit in the front seat.

Why does the Uber case matter?

DOJ sued Uber last year under the same federal law, seeking $125 million for people subjected to alleged discrimination who had complained to Uber or the department, according to Reuters. Uber rejected every accusation.

The $125 million sought from Uber was $72 million above the amount sought from Lyft and about 2.4 times as large. The comparison sets the monetary context for Missakian's pledge, while both cases invoke the same federal disability-discrimination law.

Lyft faces a $53 million penalty demand and a proposed court order over accessible-service practices, with DOJ citing its $125 million case against Uber as the comparator for its enforcement stance.