SEATTLE (AP) — The U.S. Chamber of Commerce is suing the city of Seattle over a law that allows drivers of ride-hailing companies such as Uber and Lyft to unionize over pay and working conditions.

The lawsuit filed Thursday in federal court says the ordinance violates and is pre-empted by federal antitrust law and illegally allows for-hire drivers to get together and set rates. The group said in a statement that the law will burden innovation, increase prices and reduce services for consumers.

In December, the city became the first in the U.S. to allow drivers of taxis, for-hire transportation companies and app-based ride-hailing services to bargain with their drivers, if a majority shows they want to be represented.

A spokeswoman for Seattle City Attorney says the office is reviewing the complaint and will file a response in court.

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