Federal Bill Could Limit Rideshare Lawsuits

A provision moving through Congress could change how injured people pursue claims against rideshare companies. For anyone hurt in an Uber or Lyft crash, the proposal is worth understanding, even though it has not become law. Knowing where things stand today can help injured passengers protect their rights.

What the Proposed Provision Would Do

The measure is part of a large federal transportation funding bill known as the BUILD America 250 Act. Tucked into it is an amendment that would limit when app-based companies like Uber and Lyft can be held responsible for harm caused by their drivers. Under the language, drivers would generally bear individual responsibility, and the companies could be sued only if they were grossly negligent or engaged in criminal wrongdoing.

The provision would treat rideshare apps as digital network operators rather than common carriers, a category that has traditionally carried responsibility for passenger safety. It would also override state laws that classify these companies as carriers. As reported by Colorado Newsline, the amendment cleared a House committee in late May 2026 and still needs a full House vote and Senate passage before it could become law.

Two Sides of the Debate

Supporters and the companies frame the change as a fix for what they describe as abusive litigation. Uber has said it is often sued simply because it carries large insurance policies, even when the company itself is not at fault, and argues that such suits raise prices for riders. In that view, drivers should answer for their own conduct behind the wheel.

Opponents see it differently. Consumer advocates, many trial attorneys, and a group of state and federal lawmakers argue the change would make it far harder for injured passengers to hold well-resourced companies accountable. They also warn it would override state safety laws passed in response to real harm, and they note that the company, not the individual driver, runs background checks, dispatches rides, and sets the safety rules.

What This Means for Injured Passengers Right Now

For the moment, the law has not changed. The provision has only cleared a committee, so the current rules still apply. People hurt in rideshare crashes can generally still pursue claims against both the driver and the company, depending on the facts.

That current framework shapes where compensation can come from. Today, a rideshare crash claim may involve:

• The rideshare company’s commercial insurance during an active ride
• The at-fault driver’s personal coverage
• Another driver’s insurance if a third party caused the crash
• A victim’s own uninsured or underinsured motorist coverage

Because the rules could shift and because filing deadlines apply, it makes sense to act rather than wait. A Los Angeles, CA rideshare accident lawyer can review the facts, identify the available coverage, and explain how any change in the law might affect a claim.

Why Timing Can Make a Difference

Legislation like this can change shape as it moves. A provision that passes committee may be amended, removed, or held up before any vote, and the outcome is far from settled. What does not change is the value of preserving evidence early. Dashcam footage, app records, and witness accounts fade or disappear as time passes, regardless of what Congress does. Acting promptly protects a claim under whatever rules are in place when it is filed.

Getting Help After a Rideshare Crash in Los Angeles

Rideshare crashes already raise difficult questions about insurance and responsibility, and a shifting legal picture only adds to that. A Los Angeles rideshare accident lawyer at Cohen Injury Law Group can help injured passengers make sense of their options under the law as it stands today. If you were hurt in an Uber or Lyft crash, getting in contact with an attorney can help you understand your rights and take steady next steps while the proposed changes work their way through Congress.