By Preetika Rana 

A California appeals court granted an emergency stay to Uber Technologies Inc. and Lyft Inc. Thursday, pausing a ruling that required the ride-hailing companies to reclassify their drivers as employees by Friday.

The reprieve means both companies can continue operating in the state while their appeal is considered. Both companies had said they would be forced to suspend operations in California if a stay wasn't granted.

Lyft said earlier Thursday it would halt its business there as of midnight, anticipating that it wouldn't get more time. The company confirmed it no longer plans to halt its ride-hailing service in the state.

Write to Preetika Rana at preetika.rana@wsj.com

 

(END) Dow Jones Newswires

August 20, 2020 15:38 ET (19:38 GMT)

Copyright (c) 2020 Dow Jones & Company, Inc.
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