German court bans Uber from offering rides via hire cars

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A German court on Thursday barred Uber from offering rides through car hire firms, saying it lacked a licence to do so, in the latest legal setback for the ride-hailing app.

A regional court in Frankfurt found that Uber’s business model, which relies heavily on the use of vehicles from local car rental companies in Germany, violated several anti-competition laws.

“From the passenger’s point of view, Uber is providing the service,” said judge Annette Theimer, pointing out that Uber set the prices and could pick the drivers. The federal association of taxis and rental cars welcomed the verdict, saying the court “had made it clear that Uber’s system is illegal in Germany”.

“We will look at it closely and adapt our offer if necessary so we can continue to be there for our users and drivers,” tweeted Tobias Froehlich, head of communications for Uber in Germany.

 

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