The Independent Record reported that the ride-hailing app Uber might be banned in Berlin after a local transportation group lodged a complaint saying that the company's service is breaking the law. Berlin Taxi Association head Richard Leipold claimed that he does not have the finances to enforce the interim ruling, as the defeat could make him liable for compensation claims, which are undoubtly huge, from the ride-hailing app maker. However, Leipold said to The Associated Press on Thursday that he has plans to go through with the case until the San Francisco-base company either complies with the rules just like any other taxi company in Berlin, or is banned from the country.
The report could mean another blow to the startup, which is backed by Google and Goldman Sachs, as it attempts to expand its presence in Europe. The taxi app maker has been battling opposition from traditional taxi groups and has faced intense regulatory hurdles since it has moved forward with its expansion plans.
Just last week, a regional court in Brussels had issued a ruling that the limousine providers Uber users could call using the app are illegally cruising the city to get customers. As per Berlin state laws, limousines should return to base after servicing a customer.
EU digital commissioner Neelie Kroes dubbed the Brussels court decision as crazy and outrageous. She said, "This decision ... is not about protecting or helping passengers - it's about protecting a taxi cartel. If Brussels authorities have a problem with Uber they should find a way to help them comply with standards. Slamming the door in Uber's face doesn't solve anything."
A spokesperson for transport minister Brigitte Grouwels of the Brussels region said about the court decision, "They [Uber] do not comply with existing rules, they are not registered, their drivers don't have a regular licence and do not follow the rules that conventional taxis have to follow ... that's why the court blocked them."
