Cannes-Do Festival Banner
Media

Uber crashes in Spain following nationwide ban

Author

By John McCarthy | Media editor

December 9, 2014 | 3 min read

Uber has been ordered to suspend its services in Spain after a Madrid court ruled that the firm lacked the necessary credentials to ferry passengers resulting in an unfair advantage over conventional taxi groups.

The lift-hailing app has in similar cases upheld that it is an internet company and therefore its drivers do not need government-issued licences required by taxi drivers, however the court upheld a complaint from the Madrid Taxi Association. As a result, Spanish police will fine unlicensed Uber drivers a minimum of between €4,000 and €6,000.

Uber

Uber is facing considerable international pressure

The app was in breach of article one of Spain’s transport law, translated by Tech EU: “Private transportation is qualified as such if it is used for personal or domestic transportation needs of the owner or close relatives.

The latest marketing news and insights straight to your inbox.

Get the best of The Drum by choosing from a series of great email briefings, whether that’s daily news, weekly recaps or deep dives into media or creativity.

Sign up

“Under no circumstances, will the private driver receive any kind of direct or indirect remuneration except for food money or transportation costs.”

Tech EU also translated a statement from the Spanish Taxi Confederation (CTE): “Uber is, to the best of our knowledge, a totally illegal business that incites the use of ‘pirate’ transportation without any guaranty for the consumers as well as fomenting the black economy as none of those transactions are registered as economic activity or under administrative control.

“If no immediate correction measures are taken, we might be on the verge of an imminent nationwide protest.”

Uber has yet to comment on the ruling.

This comes after the service was banned in New Delhi after a driver raped one of his customers and fled the scene.

Media

More from Media

View all

Trending

Industry insights

View all
Add your own content +