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Uber wants lawsuit filed by Vancouver taxi companies thrown out

Uber is asking a B.C. court to throw out a lawsuit filed by four Vancouver-based taxi companies that are attempting to block the ride-sharing service from launching in the city.
Uber is asking a B.C. court to throw out a lawsuit filed by four Vancouver-based taxi companies that are attempting to block the ride-sharing service from launching in the city. (CBC)
Uber is asking a B.C. court to throw out a lawsuit filed by four Vancouver-based taxi companies that are attempting to block the ride-sharing service from launching in the city.

The taxi companies applied for an injunction in November amidrumours that Uber was about to launch its controversial Uber Xservice, which allows riders to use a smartphone app to connect withprivate drivers.

The companies' lawsuit alleged Uber was planning to launch inviolation of local bylaws and provincial taxi regulations, whichthey argued would put passengers at risk.

But Uber says in court documents that the lawsuit is based on speculation, since Uber has yet to actually launch, and it says the taxi companies have no authority to enforce municipal or provincialregulations.The company has notconfirmed when, or even if, it plans to operate in the city, thoughit has been actively recruiting drivers and office staff.

"For over 50 years, they (the taxi companies) have operated as acartel seeking to stifle any form of competition or innovationinthecommercial transportation industry," saysUber'sapplication,which was filed in B.C. Supreme Court on Tuesday.

The Vancouver Taxi Association said itlooks forward to dealing withUberin court.

"Calling us a cartel ... that is just wrong, they'rejust wrong, absolutely wrong, and I don't even know what else to say," said Carolyn Bauer with the Vancouver Taxi Association. "I don't want to bad mouth anyone. The media has put out enough press out there to make people aware and make proper choices."

"I've always said Vancouver taxi industry is not against competition as long as it's on a fair, equal playing field ... go through the proper channels, get the proper insurance pay the properlicencingfees," she said.

Uber has run into opposition in many jurisdictions, including in Toronto, where city officials filed a lawsuit late last year in an attempt to force Uber out of its city.

Unlike Uber's traditional taxi service, which helps users haillicensed cabs, Uber X allows anyone with a vehicle to apply tobecome a driver. That has prompted warnings from the taxi industry,governments and regulators that Uber X would endanger passengers byputting them in the hands of unregulated drivers.

Uber has repeatedly argued it should not be forced to follow taxiregulations because it is a technology company, not a taxi service.The taxi companies' lawsuit also argued passengers would be

confused into thinking Uber X cars comply with taxi regulations.Uber, however, suggests its alleged reputation for flouting therules would ensure no one is confused.

"The (taxi companies') notice of claim pleads everywhere thatUber has 'openly' refused to comply with these same (regulatory)schemes," says Uber's court application.

"Therefore, on the plaintiff's own allegations, it is plain andobvious that the public will not be misled as plaintiffs suggest."

With files from Jeff Harrington