German court bans Uber throughout the country

UberThe regional court in Frankfurt has issues a preliminary injuction that bans Uber to operate across Germany. The court said Uber drivers don’t have necessary permits and insurance, according to Spiegel Online. Uber said it will fight the ruling and will not shut down.

The new court decision follows regional court rulings in Hamburg and Berlin that forced the luxury car calling service to stop temporarily ahead of the full court hearings. Last week, the company sort of succeeded to overturn the ban in Hamburg as another local court said the restriction is issued by the wrong city agency. However, both courts have sustained that Uber’s drivers and the company “may be violating the laws’ because they don’t have proper licenses.

The district court in Frankfurt am Main declared that the company could not tout passengers via its apps without an official permit under the Passenger Transport Act. It accused it of unfair competition as they are able to offer cheaper prices free from licensing fees and taxes. In case of a violation of injunction, the court also ruled that the company may be subject to a fine as high as €250,000 and even jail terms for its executives in the country.

The court said the injunction was justified by the risk of repetition. Uber reacted angrily, according to Frankfurter Allgemeine Zeitung, saying it will fight the decision and defend their rights vigorously.

Uber claims to be operating in 45 countries today, and around 200 cities including London, Paris, Brussels, Dubai, Istanbul, Moscow, Milan etc. Almost half of the cities are in the North America.

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