A New Jersey trial court recently addressed an issue of first impression under the State’s new app-based transport services law, the Network Company Safety and Regulations Act, which requires companies that conduct business in the transportation sector, such as Uber, to provide at least $1.5 million in underinsured motorists coverage.
In Malzberg v. Josey, the Appellate Division of the New Jersey Superior Court refused to expand the Act to food delivery companies, reasoning that the language of the Act was explicit in its application solely to individuals participating in ride-share activities, not food delivery services.
The evolution of food delivery and other related services is sure to create further litigation under the Act. HKR will continue to monitor this important issue and report on any developments.