The Zhitong Finance App learned that Uber (UBER.US) and Lyft Inc (LYFT.US) will face a landmark trial in Massachusetts on Monday EST over the identity of ride-sharing drivers. Massachusetts Attorney General Andrea Joy Campbell believes that according to state law, Uber and Lyft drivers are employees and should enjoy benefits such as minimum wage, overtime pay, and sick leave. The point of contention is that Uber and Lyft didn't classify Massachusetts drivers as employees, thereby avoiding paying $266.4 million in workers' compensation, unemployment insurance, and paid family medical leave over the past 10 years.

Amid growing calls across the US for ride-sharing service workers to be reclassified, Uber and Lyft insist they have appropriately classified drivers because they should be viewed as tech companies, and their apps facilitate connections between drivers and potential passengers rather than transportation companies.

“If the prosecution wins this case, it will mean that millions of Massachusetts passengers will either see a drastic reduction in services, a drastic increase in costs, or a complete loss of ride-sharing services. It's all for something the vast majority of drivers don't even want,” said Theane Evangelis, an Uber attorney. The Suffolk High Court trial is expected to last a month. The trial results may also have an impact on DoorDash (DASH.US) and Instacart (CART.US).