Case Overview

Chronology of Case

FedEx Ground/Home Delivery Litigation Timeline

1985 Pittsburgh-based Roadway Package System, a division of Roadway Services, begins operations for the regional pick-up and delivery of small packages. Drivers are hired as independent contractors known as “owner-operators”.

1994 In just nine years after its creation, RPS exceeds $1 billion in annual revenue, the fastest growth of any ground transportation company in history.

1996 Roadway Services separates from its parent company, Roadway Express., and is rebranded RPS. RPS offers 100 percent coverage of addresses in North America. Roadway Services, including RPS, becomes Caliber Systems

1998 Federal Express Corp. acquires Caliber Systems and all of its divisions, including RPS.

1999 Current and former drivers in California file a class-action suit against FedEx Ground (Estrada v. FedEx Ground) alleging FedEx Ground exercises near absolute control over virtually every element of their business, rendering them employees despite their classification as independent contractors. They turn to the courts seeking reimbursement of numerous costly operating expenses from vehicles to uniforms and insurance.

2000 RPS is rebranded as FedEx Ground. To address the growing needs of the residential market, FedEx Ground launches FedEx Home Delivery and adds evening and Saturday residential deliveries.

2002 FedEx Ground/Home Delivery becomes available nationwide to virtually every U.S. address.

2004 FedEx Ground/Home Delivery reports a total of 15,000 independent-contractor drivers nationwide.

2005 31 lawsuits filed on behalf of independent contractors from 25 states, seeking reimbursement for operating expenses and lost benefits, is consolidated into a Federal class-action suit against FedEx Ground/Home Delivery in the Eighth Judicial Circuit, South Bend, Indiana. California Superior Court awards $5.3 million to illegally classified drivers in the Estrada case originally filed in 1999. April 2006 Oregon jury awards $7.35 million to former independent contractor who was unjustly terminated.

June 2006 California jury awards $61 million to two former FedEx drivers of Lebanese descent in a harassment lawsuit. Federal Judge upholds key ERISA claim in nationwide class-action suit.

July 2006 Ex Driver awarded Unemployment Compensation when California state board rules he was an employee. IRS issues Final Decision that former Wisconsin driver was an employee.

August 2006 Tony Estrada issues Open Letter about FedEx Ground campaign of distortion, deception and misrepresentation.

Spring, 2007 Class Certification Motions filed.

Spring, 2007 New cases filed in North Carolina and Mississippi

August 13, 2007 California Appeals Court affirms that Drivers are Employees