Lyft, Uber Continue to Operate in Face of Lawsuit

The companies continue to pick up passengers in both San Antonio and Houston a week after a federal judge was approached.

by Vianna Davila, McClatchy News Service / April 16, 2014

The online-based ride services Lyft and Uber, which last week got hit with a lawsuit filed by taxi and limo companies in San Antonio and Houston, don't seem deterred by the efforts to shut down their operations.

The companies continue to pick up passengers in both cities, a week after 23 taxi and limo companies and drivers — among them, two taxi companies from San Antonio — asked a federal judge to rule the companies are violating vehicle-for-hire ordinances in San Antonio and Houston. The plaintiffs are also seeking a temporary restraining order and injunction to prevent Lyft and Uber from operating.

Lyft and Uber connect drivers, who are not licensed by the city to work as taxi drivers, with passengers via smart phone apps.

Lyft and Uber have worked around city rules by not charging for their service, at least for now.

Often, when the companies launch in a new city — they started up in San Antonio in late March — they quickly encounter opposition, from the taxi industry and often city officials who say the services violating existing vehicle for hire ordinances.

©2014 the San Antonio Express-News