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Uber sues New York City over cruising and licensing caps

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NEW YORK: Uber Inc sued New York City, seeking to void a new rule limiting how much time its drivers can spend cruising streets in busy areas of Manhattan without passengers, saying it threatens to undermine the company’s ride-sharing model. In a filing in New York state court in Manhattan, Uber also sought to void a rule banning the issuance of new licenses to for-hire vehicles through August 2020. Seth Stein, a spokesman for Mayor Bill de Blasio, defended the rulemaking by the city’s Taxi and Limousine Commission, saying it would protect New Yorkers “against a company that seeks to put profit first.” “Extending the cap on the issuance of new (for-hire) vehicle licences for at least the next year in tandem with the cap on cruising is not only legal, it will bring needed relief to congested streets and hardworking drivers,” Stein said. Uber, which is based in San Francisco, has drawn criticism from many cities that its vehicles increase congestion and take away business from taxi and other services. — Reuters


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