An Italian court recently levied a ruling that banned all Uber business in the country. Reports revealed that the court deemed Uber's business presents an unfair competition to the country's local taxi drivers.
The court based in Rome also ruled that Uber is a transportation company that does not respect local transportation laws. In almost every country where Uber operates, the company sets all the rates and these are not subject to review by the country's transportation authority or agency.
Italy issues a nationwide Uber ban https://t.co/unhO52fsKe pic.twitter.com/6MxvVoCHvb
— The Verge (@verge) April 7, 2017
This particular point is the main argument of the traditional taxi operators. Because of the rates are fully controlled by Uber, without local oversight, taxi companies cannot compete with the ride-hailing company's price.
The court gave Uber 10 days to shut down all of its business activities. On top of that, the company is also banned from running any advertising campaign. After the deadline, Uber will be forced to pay €10,000 each day if the company continues its local operation. As of this writing, Uber cars are still available in Italy.
As a response to the ruling, Uber's Italy division said that they were "shocked" by the court's decision. The company added that they will appeal the decision. The transportation company also said that Italy's transportation laws are outdated and they does not benefit local users.
In a statement acquired by CNet, Uber said, "Thousands of professional, licensed drivers use the Uber app to make money and provide reliable transportation at the push of a button for Italians."
This is not the first time that Uber was banned in a country where it operates. The company has faced oppositions from the government and local taxi operators in several countries including India, Brazil, Germany, and France.
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