Uber Italy must end operations within 10 days, or face hefty fines.
(CCM) — An Italian court has barred the ride-hailing company, Uber. According to a report by Reuters, Uber will no longer be able to operate in Italy. The court has ruled that the use of mobile apps constitutes unfair competition. The court's ruling comes as a response to a lawsuit filed by Italy's local taxi associations.
The ruling also bans Uber from advertising its service in Italy. In response to the court's decision, Uber Italy says that it is shocked and is planning to file an appeal. In a statement given to a local paper, Uber said: "Thousands of professional, licensed drivers use the Uber app to make money and provide reliable transportation at the push of a button for Italians."
Uber is an entirely app-based service that connects drivers with riders at competitive prices. It goes without saying that Uber is cheaper than local taxi services. Consequently, it is not the first time the company has faced flak from local cabbies. It has faced similar outrage in countries like India, Brazil, France, Germany, and others.
Given its rapid growth, Uber has often been subjected to roadblocks from local associations and governments in various nations. Many commissions also debate that on-demand ride services, such as Uber, fail to follow regulations intended for local taxi services.
Uber may file an appeal in the Italian court, but for now it has ten days to close all operations in Italy. If the company continues to operate, it could face fines of 10,000€ (around $10,600) for each day it continues to operate beyond the court's order. The company was running Uber Black, Lux, Suv, X, XL, Select, and Van services in Italy.
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