EU court rules Uber must be regarded as a transport company

A ruling by an representative of the Court of Justice of the European Union has dealt a potential blow to ride-hailing company Uber, saying it is not merely a digital enabler but provides a transport service, which means it must be licensed in order to operate.
May 11, 2017 Read time: 2 mins

A ruling by an representative of the Court of Justice of the European Union has dealt a potential blow to ride-hailing company 8336 Uber, saying it is not merely a digital enabler but provides a transport service, which means it must be licensed in order to operate.

In his ruling, Advocate General Maciej Szpunar, said the Uber electronic platform, whilst innovative, falls within the field of transport. Uber can therefore be required to obtain the necessary licences and authorisations under national law.

The case was brought in 2014 by a group of taxi drivers in Barcelona, Spain, which argued that Uber engaged in unfair competition with its UberPOP service, which used unlicensed drivers.

According to Reuters, Uber no longer operates UberPOP in Spain. The company said it would await a final ruling later this year, but added that even if it is considered a transportation company, this "would not change the way we are regulated in most EU countries as that is already the situation today".

The decision is not binding, but the court's judges follow it in most cases.

Related Content

  • October 17, 2018
    Uber IPO ‘could be valued at $120 billion’
    Uber could be valued as high as $120 billion if the ride-hailing company goes public, as expected, in 2019 – despite being permanently in the red. Major US banks Goldman Sachs and Morgan Stanley have made valuation proposals to Uber, according to a report in the Wall Street Journal this week. This means the initial public offering (IPO) could be one of the largest in history – and Uber has yet to record a full-year profit. If the figure is correct, it would mean that Uber is worth more than three of the
    Read More
  • November 28, 2013
    Major setback for California's high speed train
    The future of the California high speed rail project hangs in the balance as a result of two rulings handed down by Sacramento Superior Court Judge Michael Kenny on 25 November. "The judge's ruling will prevent the [California High-Speed Rail] Authority from spending bond measure funds for construction until the funding plan is brought into compliance," said Michael Brady, co- lead attorney on the case, but because that would require finding at least US$25 billion in extra funds, Brady believes complianc
    Read More
  • March 4, 2024
    Monotch & Detecon to help 5G transport roll-out in EU
    5GMEC4EU project aims to boost 5G take-up along major European transportation routes
    Read More
  • July 18, 2017
    Leading Finland’s transport revolution
    Anne Berner, Finland’s minister of transport and communications, does not fit the normal political mould. She is not a career politician but a business executive who became a member of parliament in 2015 and has said from the outset that she will only serve one term. Without concerns about being re-elected and a clear view of the future of transport, Berner can concentrate on what needs to be done - tackling some of the more contentious and intransigent subjects. Her name is best known for two major initiat
    Read More

Highlighted Content