Instacart suit on hold as it takes wage law challenge to higher court | amNewYork

"It would be disrespectful for this court to decide the motion to dismiss while the court of appeals is considering the likelihood of success on the merits of the claims, Koeltl said during the hearing on Thursday. The company's argument in higher court focuses on the assertion that federal regulations around motor carriers originally created for the trucking industry apply to the grocery delivery workers and override the local laws."

"Maplebear has since gone on to appeal that decision to the U.S. Court of Appeals for the Second Circuit and moved to pause the lower court case from proceeding while the appeals court weighs the decision. The package of five laws at issue created wage and tip protections for all app-based delivery workers policies and specifically expanded rules to cover grocery delivery services."

Instacart's parent company Maplebear Inc. sought to block New York City's five new delivery worker protection laws through a preliminary injunction in federal court. The laws established wage and tip protections for app-based delivery workers, including grocery delivery services. U.S. District Judge John Koeltl denied the injunction in January, allowing the wage protections to take effect. Maplebear appealed to the U.S. Court of Appeals for the Second Circuit, arguing the laws are preempted by federal regulations originally designed for the trucking industry. Judge Koeltl agreed to pause the lower court proceedings while the appeals court considers the case, determining it would be inappropriate to proceed with motions to dismiss while the higher court evaluates the merits.

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