NEW YORK (Reuters) – Uber Technologies Inc has been sued in New York City on Friday, seeking to invalidate a new rule to limit the amount of time drivers spend cruising the streets in a busy area of Manhattan without a passenger, say that it threatens to undermine the company’s ride-sharing model.
FILE PHOTO: A screen displays the logo of the company is Uber Technologies, Inc. at the date of the initial public OFFERING on the New York Stock Exchange (NYSE) in New York, New York, USA, on 10 May 2019. REUTERS/Brendan McDermid/File Photo
In a report in the New York state court in Manhattan, Uber also sought to void a rule for a prohibition on the issuance of new licences for the rental of vehicles to the end of August by the year 2020.
Seth Stein, a spokesman for the Mayor, Bill de Blasio, defended the legislation by the city’s Taxi and Limousine Commission, says that it is supposed to protect New York against a company that is trying to get the win in the first one.”
“With the expansion of the common agricultural policy on the issuance of new private car licences for at least the next year, in conjunction with the cap on speed is not only required by law, it will be necessary to help with over-crowded streets and a hard-working truck drivers,” Stein said.
Uber, which is headquartered in San Francisco, has taken the criticism from the other cities of its vehicles, increasing traffic congestion and take away business from taxi services and other services.
In New York City”, ” value “medallions,” or licenses that are required for the operation of the taxis is made in the last few years as ride-sharing services like Uber and Lyft becoming increasingly popular.
Uber is a challenge to the city’s “cruising cap” rule, which represents a 31% cap on the amount of time that drivers of app-based vehicles are able to drive without any passengers in Manhattan south of 96th Street, in the sense that they would need to have rates to be at least 69% of the driving time.
New York, cruising in the caribbean the rate was 41% in 2018. Under the new rule, the limit would drop to 36% in February of 2020, and to 31% in six months ‘ time.
“The rule would constitute a threat to the viability of the ride-sharing model, as it now exists, is in danger of bringing the benefits of this model is made for both riders and drivers,” Uber said. He said that while it was “in the public and vocal support” to reduce traffic congestion in midtown Manhattan, the cruise, the cap was based on “flawed and arbitrary,” in the economy.
Advocates say the boating licenses and the caps can help to ease the traffic tie-ups, and the freedom of the streets for bicyclists, pedestrians, and public transportation.
Uber shares closed $1.22, or 3.6%, at $32.60.
The thing is ZEHN NY, LLC et al. v New York City Taxi and Limousine Commission, et al., a New York State Supreme Court, New York county.
Reporting by Jonathan Stempel in New York; Additional reporting by Nate Bellon, in New York; Editing by Chris Reese and Leslie Adler