Nevada Judge Stops Uber Car Service: Almost 1,00 Drivers, Others Lose Jobs
Ride-sharing service Uber has ceased all operations in Nevada as of Wednesday after it was revealed that it was bending the state's transportation laws for a month. The company vowed that it would resume its car services once it found a way to legally operate in the state.
The temporary shutdown was decided after Uber's management analyzed the state's laws and posted an announcement on the company's website.
Later, an Uber spokeswoman issued an email statement around 10 p.m.
"It's unfortunate that Nevada is the first state in the nation to temporarily suspend Uber," spokeswoman Eva Behrend said. "That means nearly 1,000 jobs just disappeared overnight and those residents lost their ability to earn a living. On the eve of Thanksgiving, when Nevadans should be celebrating with family, now many are worried about how they're going to pay their bills."
The San Francisco-based company has been involved in several legal disputes in recent weeks. On Monday, the Nevada Supreme Court voted, in split-vote decision, to have a court case involving Uber's legality be heard in Washoe County. Company officials argued that the case should be heard in Clark County where a judge heard a similar case and did not stop the business, but on Tuesday, Washoe County District Court Judge Scott Freeman issued an injunction halting Uber's operations statewide.
"We remain committed to working with Nevada's leaders to create a permanent regulatory framework that affords Nevadans the flexibility and innovation offered by Uber," Behrend said in her email.
Uber began operations in Nevada on Oct. 24. The Nevada Taxicab Authority and the Nevada Transportation Authority immediately demanded Uber stop, arguing that its drivers were illegal and unlicensed carriers. Nevada has strict laws regulating the testing of drivers and vehicles allowed to carry passengers commercially.
Despite Uber's assurances that its drivers are thoroughly investigated and has a blanket insurance policy, state authorities felt it wasn't good enough.
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