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By FutureLaw Desk

A court in Rome blocked the use of UBER.UL, a number of smartphone apps for Uber cars in Italy on Friday (April 7), ruling that they constituted unfair competition.

As per the court order, Uber would not be able to use its Black, Lux, Suv, X , XL, Select and Van phone applications nor could it promote or advertise its services in Italy. The order was given favor of a suit filed by Italy’s major traditional taxi associations.

Uber has ten days to shut down all its activities and can’t run any advertising campaign. After that, the company will have to pay €10,000 per day if the company still operates.

In brief, the court in Rome says that Uber is a transportation company but doesn’t respect transportation laws, besides the fares are not set by the transportation authority; this was the main contention point for traditional taxi associations as they were having hard time to compete with Uber on price.

Uber pointed out that the transportation law is outdated and doesn’t benefit Italian users, which is why they will appeal against the order in court.


Source: Reuters