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Transportation The Courts

California Sues Uber Over Practices 139

mpicpp writes with news that California is the latest government to file a lawsuit against Uber. "California prosecutors on Tuesday filed a lawsuit against Uber over the ridesharing company's background checks and other allegations, adding to the popular startup's worldwide legal woes. San Francisco County District Attorney George Gascon, meanwhile, said Uber competitor Lyft agreed to pay $500,000 and change some of its business practices to settle its own lawsuit. Los Angeles District Attorney Jackie Lacey partnered with Gascon in a probe of the nascent ridesharing industry. A third company — Sidecar — is still under investigation and could face a lawsuit of its own if it can't reach an agreement with prosecutors. Uber faces similar legal issues elsewhere as it tries to expand in cities, states and countries around the world. The companies have popular smartphone apps that allow passengers to order rides in privately driven cars instead of taxis."
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California Sues Uber Over Practices

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  • Ride sharing? (Score:5, Insightful)

    by EzInKy ( 115248 ) on Thursday December 11, 2014 @05:48AM (#48571175)

    "Hey Ez, where are you going"?
    "Up to the store".
    "Mind if I go with you, I need a few things".
    "Not at all".
    "Thanks, here's a couple of bucks for gas".

    That is ride sharing. Uber, Lyft, and the others are arranging drivers for hire. Just pointing out the obvious here.

     

    • by plopez ( 54068 )

      You're right and you beat me to the post. Uber is a taxi service looking to earn a profit. Any other name for the service is just newspeak.

      • Indeed - the only difference between Uber and traditional taxi services is that they've replaced "pick up the telephone and call" with "get on the internet and call."

        Oh, and that whole "expectation that our commercial transport service not be considered a commercial transport service" attitude.

        • Re:Ride sharing? (Score:5, Insightful)

          by gstoddart ( 321705 ) on Thursday December 11, 2014 @08:58AM (#48571873) Homepage

          But ... but ... they're a tech company ... they have an app ... they dispatch using technology. My god, can't you see that this is completely different from a taxi company?

          Why, being a tech company, and having an app ... they're nothing at all like a cab company.

          Sure, they dispatch drivers to pick you up and drive you somewhere else for money, but ... it's done with a freakin' app, that makes it totally different. Because with an app, the cabs are dispatched with the help of unicorns and kittens.

          Yeah, whatever.

          My problem with Uber is there is no way to make their argument about being magically exempted from regulation stick. You can't just decree that laws don't apply to you. You can't just decree that your car-for-hire service isn't a car-for-hire service just because the drivers don't work for you.

          Their spokespeople have been trained to sound collectively delusional, and either they know they're full of shit, or have drank so much of the kool aid they really believe they're a different kind of entity.

          The problem is, they're not the ones who define what they are and what laws apply.

          So, yawn, this is just a continuation of the .COM era, except this time it's with smart phones and apps.

          You suddenly become worth billions of dollars, when you don't have billions in assets or even revenue. It's an overhyped stock, in an overhyped market, by people who are convinced they're something new.

          Except for the GPS part, you've been able to dial #taxi for years. A cellphone doesn't magically make you not a taxi.

          Uber is just hype, and once the law establishes they're just a taxi company trying to pretend otherwise.

          Claiming you're a technology company who just enables scheduling for illegal cabs just won't cut it.

          • by Daetrin ( 576516 )
            Most sensible geeks get incensed when the government passes a law about "Doing X, but on a computer/the internet" or when a company tries to patent "Doing X, but on a computer/the internet". We quite rightly point out that there are already laws or patents covering the same thing and doing it on a computer or the internet doesn't make it magically special.

            Well this is part of why the government sometimes keeps trying to pass "Doing X, but on the internet" laws. Because some jerk is always willing to try g
            • by bws111 ( 1216812 )

              The reason that geeks get incensed about both things is because they like being incensed and will find any reason to do so, even if said reason is entirely incorrect. Not exactly 'sensible'.

              In the case of patents, 'on the computer/on the internet' DOES in fact make a difference. The irate geeks focus on one of two things: they either claim that patents protect concepts, or they claim it is 'obvious'. Both are wrong. A patent does not protect 'display a moving picture', it protects HOW you do that. A fi

          • But ... but ... they're a tech company ... they have an app ... they dispatch using technology. My god, can't you see that this is completely different from a taxi company?

            Actually, it is more accurately called a chartered car service such as used for town cars and limos. The thing is that smart phones and wireless means that these days anybody can essentially call a home office, charter a car for right then, and have it show up where they are in minutes. IIRC, those were the laws that Lyft was operating under in Seattle in the beginning because it was all kosher as chartered car drivers and companies weren't as regulated as taxis. When the laws were made, nobody thought you'

    • Re:Ride sharing? (Score:5, Insightful)

      by nbauman ( 624611 ) on Thursday December 11, 2014 @08:02AM (#48571583) Homepage Journal

      "Hey Ez, where are you going"?
      "Up to the store".
      "Mind if I go with you, I need a few things".
      "Not at all".
      "Thanks, here's a couple of bucks for gas".

      That is ride sharing. Uber, Lyft, and the others are arranging drivers for hire. Just pointing out the obvious here.

      You missed some more obvious:

      (1) Ez and his ride-sharer knew each other. The ride-sharer doesn't have to worry about Ez robbing him and vice versa.

      (2) Ez was going to the store anyway. The purpose of his trip was to go to the store. His purpose wasn't to make money out of the trip.

      That's the difference between Uber and Ez.

      If that's not obvious to you, it's obvious to Ez' insurance company if he gets into an accident.

      • by Khyber ( 864651 )

        "Ez and his ride-sharer knew each other. The ride-sharer doesn't have to worry about Ez robbing him and vice versa."

        I can tell you never grew up in the ghetto!

    • by Pope ( 17780 )

      That is ride sharing. Uber, Lyft, and the others are arranging drivers for hire. Just pointing out the obvious here.

      Correct. Uber is, in most jurisdictions, an unlicensed jitney cab. And there's a reason they were outlawed in most places decades ago.

    • The FAA version of this law to tell airplane ride-sharing apart from charter aircraft is the following - Common purpose, cost sharing, and prior relationship. This means you both want to go the store, not you asking your passenger where he wants to go, you are not charing more than a pro-rate share of the cost of the trip, and you knew each other prior to this trip.
    • "Hey Ez, where are you going"? "Up to the store". "Mind if I go with you, I need a few things". "Not at all". "Thanks, here's a couple of bucks for gas".

      That is ride sharing. Uber, Lyft, and the others are arranging drivers for hire. Just pointing out the obvious here.

      The government figured out ride sharing vs commercial activity long ago in the area of a private pilot's license vs a commercial pilot's license. A private pilot can take a passenger who chips in for fuel. I think the chipping in has to be accurate with respect to fuel, no gross overpaying for the passenger's fair share. Also I don't think splitting rental or maintenance costs were allowed, just fuel. And the passenger can absolutely have no influence on where or when the plane departs and where it goes. Th

  • Not "ridesharing" (Score:5, Insightful)

    by gnasher719 ( 869701 ) on Thursday December 11, 2014 @06:06AM (#48571215)
    Can we just say that this is not "ridesharing". Ride sharing happens when I want to go from A to B, and I pick you up on the way because you want to go to a similar route.

    The Uber drives have no intention to go from A to B themselves. They are sitting at home waiting from phone calls. It's a private hire car, where you rent out a car together with a driver, to transport other people for payment to places that you don't want to go yourself.
    • A big problem today is the difficulty in making extra cash.

      You can grow some food pr bake, find an empty spot in a public bazar and hoc your goods. (Your food needs to be checked by the FDA you will need to get and pay for a license to sell at that location).
      Uber has its bad points but what it does is empower citizens to do things that will make them some extra money, If you are willing to drive people after work then go ahead, if you want to make a career out of it that is good too.
      There is also similar s

      • by EzInKy ( 115248 )

        I find it interesting that you didn't use the phrase "protect the individual". In order for an person to be empowered a person must be protected from those who would remove that power. Hell, we see many here who would support a system that would favor a system that offers no protection against entities who want nothing but to profit from their loss.

      • Uber has its bad points but what it does is empower citizens to do things that will make them some extra money, If you are willing to drive people after work then go ahead, if you want to make a career out of it that is good too.

        Hiring these guys and paying them a wage would be a much much better way to give them some extra money. And do you really want to be driven around by a guy who is dog tired after a full working day? I'd rather be driven by a taxi driver who has just one job.

      • by Pope ( 17780 )

        Uber has its bad points but what it does is empower citizens to do things that will make them some extra money, If you are willing to drive people after work then go ahead, if you want to make a career out of it that is good too.

        LMAO. No one will ever make a career out of driving for Uber, even full time. Most cabbies don't make a lot per shift either, and Uber wants to try to be cheaper than a hailed cab? Won't ever happen.

        There is also similar sites where you can rent your home. The cities are cracking down on this because it could be considered hotelling.

        That's because it is hotelling. A lot of AirBNB seems to be people renting out apartments they don't own in contravention of local health and safety codes. Those codes are there for a reason. The rest are renting out their own condos illegally and in contravention to the terms of the condo corporation they agre

      • "Your food needs to be checked by the FDA"

        That's just wrong. The local health inspector may need to inspect your kitchen or wherever you prepare your food for sale, but you don't need to involve the FDA to sell most foods.

    • Although it insulates the driver from the passenger as far as payments go - passenger pays Uber, and Uber pays the driver. No haggling over the fares. It's also a worldwide service, so using that same app, you can freely move around anywhere. Although after the experience in Delhi, the world's rape capital, one might be wary, but I'd argue that that particular problem was with Delhi people and their sick rapist mentality, rather than w/ Uber: you'd be no safer in a Delhi bus or cab or auto-rickshaw.
    • Abso-fucking-lutely. I don't get why the media is participating in their lie or why there isn't some government action from the FTC to shut down that fabrication of their business model. Most drivers take you where you want to go for profit, period. I have nothing against Uber except that they are using the blatant lie of "ride sharing" to circumvent the regulations that apply to everyone else. Fuck anyone that engages in that deception. No responsible journalist should be willing to refer to Uber as a ride

  • by Anonymous Coward

    I totally want to stay with the old taxi ways, where you have to call a cab company repeatedly over the course of six hours or more before they finally come pick you up or just flat out leave you stranded in the cold and never come... and have policies that if you give up on them after a few hours and call another company in the city, they'll just both refuse you service entirely or blacklist you. And then when or if they ever bother to show up, they charge you out the ass.

    • I don't think anyone wants to get rid of the alternatives.

      A lot of aspects of Uber are great. GPS and billing aspects for a for-hire car service are a massive step up from traditional taxis and make the system far more convenient for the end-user. The cars are almost always nicer than taxis as well, as even though there are taxi standards, Uber drivers generally hold themselves to a higher standard.

      However there are also some real downsides to Uber that need to be dealt with. Their flippant attitude aside,

      • by Rei ( 128717 )

        It would also be nice if "our cake" included said company not being run by thin-skinned vengeful machiavellian sexist twits.

        Unfortunately, as it stands, the cake is a lie.

    • by jonwil ( 467024 )

      All the times I used a taxi (which were because I needed to carry more stuff than it was possible to carry on the bus and was unable to get help from friends/family) I only had to make one phone call, they showed up reasonably quickly and got me and my stuff where I needed to go without any problems. As for costs, the costs for those taxis were quite reasonable (although you better carry cash or else they will sting you with a ridiculous 10% surcharge for card payment)

  • Open up the Taxi licensing and charge reasonable prices....

    • Re: (Score:2, Interesting)

      by Anonymous Coward

      I hope we eventually agree on something like a private-commercial drivers license and car registration. That would make all this Uber stuff much easier to swallow.

      Basically, just as there are federal rules for private liability car insurance, the government should define a new class of insurance coverage for drivers who do commercial ride sharing. Then let actual insurers figure out what to charge, and compete for customers. Maybe billing for some plans could be done by how active you are, instead of "all y

  • And why is every single news item about Uber posted here? It's not news, it doesn't matter, and it sure as hell ain't nerdy. Someone at Dice or Slashdot has an negative interest in Uber and it hijacking Slashdot for that agenda.

  • Well it's quite obvious that the special interest parties have astroturfed this topic. Seriously paradigm shifts need to happen, and apparently they've needed to happen to an embedded (corrupt?) industry such as this for a VERY long time.

  • Would Uber have not been better off if they designed the app/tool/backend and then licensed it to be used by the Taxi companies directly?

    This would avoid having to take on the issues around engaging drivers, provide the tools to do the job better than trying to do the job better.

    • by vux984 ( 928602 )

      I took a taxi Melbourne last month. Booked it through an app. I got a confirmation message for the booking, and another message shortly before the driver arrived.

      It seems taxi companies have no problems adpoting the 'good' parts of Uber's business model.

      If Uber wants to compete, that's fine with me... but they're just another taxi company.

  • There is strong correlation between which states are going after online ridesharing and their level of corruption. As a lifelone CA resident, it surprised me that it took this long for the state to take action.
  • This is a mixed bag, on the one hand you need some form of regulation for safety and responsibility. On the other hand taxi cabs don't effectively serve many areas with no real incentive to change (For example mine ... if I want a traditional cab company to pick me up I need to call the day before, and pray that they show up on time ... if they show up 15 min late oh well .. If I am 5 min late I get charged per min)
    Some of the laws are protectionist to keep others from offering the same service but bette

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