Uber taken off road in Calgary

Controversial ride share service suffers setback over insurance and regulation compliance

Risk Management News

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The Court of Queen's Bench of Alberta on Friday issued a temporary injunction against drivers offering rides via the Uber ride sharing service, in the wake of controversy over insurance and regulatory compliance.

Justice G. H. Poelman issued the injunction to run until a full hearing on December 17, at which time the city of Calgary will argue the injunction should be permanent until the aforementioned requirements are met.
 
Uber Calgary said it was “disappointed by the court ruling”, which forced it to suspend operations from 6am no Saturday, a sentiment echoed by dozens of supporters on Twitter.
 
The city argues that using an app to offer rides for a fee using a private vehicle is a breach of the Livery Transport Bylaw, and Uber drivers should require commercial insurance and a more appropriate license.
 
Uber has incurred the wrath of taxi drivers nationwide and it was the Toronto Taxi Alliance (TTA) that was first to respond to the latest setback for Uber.
 
“With thousands of uninsured and untrained UberX drivers operating on our streets it is only a matter of time before a serious accident will result in insurance mayhem. Until UberX comes into regulatory compliance, they should be barred from operating in our city,” said the TTA.
 
Uber is still operating in Toronto due to a loophole. Toronto’s Licensing and Standards Division applied for an injunction last year but it was rejected because Toronto’s definition of ‘taxi’ was outdated, referring only to telephones and not apps.
 
Toronto has since made the necessary changes, prompting the TTA to call for a reapplication for the injunction. “Now, before the bad weather sets in and the risks go up, we need to get these unregulated, non-inspected and uninsured cars off the road,” the TTA said.
 

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