Is Uber Legal? (all you must know)
Gig economy services like Uber have been the subject of debate since their inception, over their legality.
So if you have these questions too, or because you’re just curious, or because you want to know about them before you work for them, we did some research on Uber’s legality, so keep reading to learn more!
Will Uber be legal in 2022?
We can’t say whether Uber is legal, but the way it operates isn’t technically illegal in 2022. In many areas, Uber, as a relatively new concept, struggled to gain traction due to local regulations, and ended up being banned or detained in court for years. Some of Uber’s legal issues involve surge pricing, licensing and insurance.
Read on to find out everything you need to know about Uber’s legal status, including how it handles taxes, legal issues over the years, and more!
Is Uber surge pricing legal?
Uber’s pump-pricing model is still going through the legal decision process, so we can’t say yet.
In 2015, Uber was sued for violating antitrust laws for allegedly working with drivers to drive up prices by skyrocketing.
The lawsuit was dismissed in 2020, but those who originally filed the lawsuit want it back in court, saying the original arbitrator acted out of fear.
A paper published in the Virginia Journal of Social Policy and Law 2019 discusses how Uber exploited loopholes to ensure surge pricing was not declared illegal.
This article looks at laws designed to ensure fair pricing and competition by requiring all customers to charge the same for products.
According to the authors, Uber says it offers a service that connects riders with drivers, not a product, meaning the laws governing products don’t apply to it.
Is Uber legally responsible for its drivers?
Uber classifies its drivers as independent contractors, which means it doesn’t hold them legally responsible even if they’re actively working.
However, this is our analysis of how the current system works and it is open to interpretation so you should not take it as legal advice.
In the event that something happens, the next court case is likely to find Uber responsible for its drivers in some way, meaning it’s not set in stone.
That said, Uber has taken steps to take some responsibility for its drivers by offering insurance in the event of an accident.
The policy covers different aspects of work through its own rules, such as while waiting for a quote, on the go, or while on Uber Eats.
It’s only for people who have their own insurance coverage, and it’s used when they’ve already made a claim and it’s been denied.
Where is Uber illegal?
Uber is currently illegal in Brussels, Bulgaria and Thailand, and legal battles are ongoing in several other countries.
In many of these cases, Uber faced being declared illegal, largely due to licensing requirements introduced to traditional taxi companies.
Most of these regulations prohibit private use of their own cars to provide public transportation, making Uber’s business model difficult to operate.
In some countries, such as Morocco and South Korea, Uber was not declared outright illegal, but was unable to comply with the law or court rulings and suspended operations.
What are Uber’s legal issues?
Uber’s legal issues revolve around the following issues:
- license- Many countries have requirements for traditional taxis and public transportation, prohibiting individuals from doing these jobs without approval
- Insurance – In many countries, insurance is mandatory when driving, but carpooling still has no clear guidelines on how insurance should work
- Employment Status – Uber typically classifies its drivers as independent contractors, and many of its legal disputes involve proceedings seeking to get the company to classify them as employees entitled to benefits and protections under the law.
- Surge Pricing – Uber’s dynamic pricing model accused of everything from antitrust violations to tech fraud
- Private issues- In the past, Uber has been accused of spying on its users and competitors, and hiding data breaches
These issues have prevented Uber from making progress in multiple parts of the world, tied up in court, suspended or expressly banned.
How do I subpoena Uber for records?
To subpoena records from Uber, you need to follow these guidelines:
- Please send it to the Law Enforcement Response Team of Uber Technologies, Inc. (UTI), 1515 3rd Street, San Francisco, CA 94158
- Published by the appropriate authority
- Signed by an appropriate authority, such as a judge
- do you have a date
- Clearly identify the account you want to get information from
- date and time of response, where applicable
Uber can respond to three types of subpoenas:
- Administrative subpoena authorized by state or federal law
- Subpoena from a federal or state grand jury
- Federal or state trial subpoena
Uber said it will ignore subpoenas that have no legal basis, are vague or inappropriate, so even following those guidelines doesn’t guarantee a response.
To learn more, you can also read our post on Uber One, Uber X, and Uber Green.
in conclusion
Whether Uber is legal is debated in many parts of the world because it is still a relatively new type of service. Many of Uber’s legal issues are related to insurance, licensing, antitrust issues and employment law.
Uber classifies its drivers as independent contractors to reduce its liability, arguing that it operates in a way that makes it different from traditional taxi companies. This is done to try to avoid some of the regulations imposed on these industries.
