A U.S. judge rejected an attempt by Uber to settle a class action lawsuit with drivers who claimed they were employees and entitled to expenses, according to Reuters, NBC News reports.
U.S. District Judge Edward Chen ruled Thursday the settlement was not fair or adequate for Uber drivers.
The proposed settlement would have kept drivers classified as independent contractors. Several drivers who were part of the class filed objections with the court, particularly because the proposed amount was well below the total potential damages in the case of roughly $850 million.
In a statement, Uber said it believed the settlement was fair and reasonable.
"We're disappointed in this decision and are taking a look at our options," the company said.