The court had been asked to decide whether that technology breaks laws which prohibit the use of taximeters in private hire vehicles in the British capital.
Advertisement
An unhappy “Licensed Taxi Drivers Association” took to Twitter to describe the law “as an ass”.
London mayor Boris Johnson has said disruption from tech companies such as Uber is inevitable, and the best cities can do is “create a level playing field” for established trades such as black cabs. London cabbies – who require years of training to pass a licensing test – have clogged roads and threatened criminal complaints against four Uber drivers.
“The fares are regulated and calculated automatically and visibly to the passenger as the journey progresses, through taximeters approved by TfL as complying with strict regulations”.
Unlike in the U.S., Uber’s United Kingdom division, which is already in operation in seven British cities including London, Birmingham and Leeds, does not include UberPOP – the peer-to-peer taxi service it runs in a few other countries including the USA, which matches customers up with other members of the public who act as casual drivers.
The Licensed Private Hire auto Association (LPHCA) backed the LTDA and said the app was “an attempt to circumvent the statutory prohibition” on minicabs using meters.
Why might Uber’s practices have breached this rule?
At the heart of the case is the definition of a taximeter, the device that sits in a black cab which enables fares to be based on distance travelled and journey time.
Mr Justice Ouseley ruled that Uber’s smartphone app is not in fact “a device for calculating fares”, paving the way for the company to continue ferrying customers around London.
Other rules may stop Uber from being able to show vacant cars within its app, and force passengers to enter a final destination before making a booking.
Arguably it is purely an academic argument.
Uber said that if implemented the changes would mean an end to the way Uber operates at present.
Are the parties likely to accept the ruling?
Outside court today Jo Bertram, Uber’s United Kingdom general manager, said the ruling was “great news for Londoners and a victory for common sense”. The group called the ruling “unbelievable”. “If the LTDA chooses to appeal it, we will respond”.
Advertisement
The High Court decided on Friday that the app is not “meter-like”. It has not disclosed how much it has spent in legal fees to date, and all three parties have independently engaged lawyers to represent them.
