Uber in the dock again as more cities ban service

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10 December 2014 | 0

Uber’s legal troubles are coming closer to home as a number of cities and countries line up to regulate its operations.

The city of Portland, Oregon, has ordered the ride hailing service to cease until it obtains the permits to operate legally.

The lawsuit, issued Monday, comes less than a week after Uber began operating in Portland. The city already had said Uber would be operating there illegally without the proper permits or inspections.

“Uber and its drivers have failed to comply with the permit and other important public health and safety requirements,” said a cease-and-desist order from the Portland Bureau of Transportation to Uber on Monday.

Neither Uber nor any of its contracted drivers has applied for or been granted driver or vehicle permits to operate within Portland as required by the Portland City Code, the lawsuit states.

The City has already threatened to levy fines of $1,000 to $5,000 against Uber drivers.

The district attorney’s offices in San Francisco and Los Angeles have filed consumer protection and unlawful business lawsuits against Uber, while announcing a settlement on similar charges with Lyft.

The move follows an ultimatum of legal action to both companies in September by the DAs, who claimed Uber and Lyft violated California business laws and deceived customers around driver background checks.

Uber is dealing with similar actions in Las Vegas, Austin, Texas, and Philadelphia.

Further afield, Uber has been banned in India following the alleged rape of a female passenger in New Dehli. Similar concerns over passenger safety and pricing has seen Uber Netherlands, Germany, Italy and Canada.

Uber is currently valued at $40 billion but regulatory issues are likely to put off an IPO in the short term.

IDG News Service & TechCentral Reporters

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