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Judgment day for Uber: Quebec to table bill this morning

In the hope of striking a balance between new technology and fairness in the marketplace, Quebecs transportation minister is proposing rules for the taxi industry, as well as the popular ride-hailing app, Uber.

Transportation Minister Jacques Daoust to announce proposed new rules for taxi industry, ride-hailing apps

A taxi driver takes part in an anti-Uber protest at Trudeau Airport Wednesday, February 10, 2016 in Montreal. (Ryan Remiorz/Canadian Press)

In the hope of striking a balance between new technology and fairness in the marketplace, Quebec's transportation minister is proposing rules for the taxi industry, as well as the popular ride-hailing app, Uber.

Jacques Daoust will table his bill this morning at the National Assembly, introducing measures that he hopes willcalm what has been an explosive debate over unregulated ride-hailingservices and their perceived threat to the taxi industry.

The bill comes just one day after Quebec Superior Court Justice Guy Cournoyer ruled Revenu Quebec had the right toopen and consult the documents it seized from Uber offices.

In a lengthy ruling,Cournoyerwrote it was reasonable tobelieveUber could be breaking the law becausethe company does not requiredrivers of its most popular service,UberX, to have a tax number for GST and Quebecsales tax collection.

Loud protests from cabbies

Taxi drivers have staged loud protests and blocked traffic in downtown Montreal and at the Montreal and Quebec City airports over the past months to denounce UberX.

The taxi industry believes it is unfair for UberX to be allowed to operate without following the same rules as cab drivers do.

Pennsylvania regulators recently handed a record-setting $11.4 million US fine against Uber for operating without the required approval. (Nabil K. Mark/Associated Press)

Uberargues it'soffering a new kind of service.Company officials say they are open to regulation. However, recently theysaid that if the province passes a bill imposes strict regulations on ride-hailing services,it will shut down the app in the province.

Sources say one of the bill's measures may allow taxi companies to implement what is known as "surge pricing," a practice already used by Uber that seesfares go upduring periods of high demand.

However, limits would be set to protect customers from extreme price increases, such as the kind Uber ridersexperienced on New Year's Eve. Some Montrealerssaw their credit cards charged several times the usual price of anUber ride, including one woman who was charged $500 for a lift from downtown Montrealto Laval.

At odds with Premier Couillard?

Quebec Premier Philippe Couillard, left, has talked about embracing the 'sharing economy' and apps such as Uber, while Transport Minister Jacques Daoust (right) accuses Uber of avoiding taxes and regulation. (Jacques Boissinot/Canadian Press)

Today's bill comes after Daoust heard from all sides of the debateduring legislative committee hearings lastFebruary and March.

The newlyminted transportation minister has found himself torn.

Premier Philippe Couillardhas openly called for embracingthe "sharing economy" and technologies and services such as Uber.

However, Daoust has criticized Uber, accusing the California-based online transportation networkof avoiding taxes and operating outside Quebec's laws.