June 28, 2017

Georgia Supreme Court tells taxi companies they must compete with Uber/Lyft

Seal of the Supreme Court of Georgia
By The original uploader was Fry1989 at English Wikipedia (http://www.supreme.courts.state.ga.us/) [Public domain], via Wikimedia Commons

The Georgia Supreme Court recently shot down a lawsuit by a group of taxi drivers who sought compensation from the state for their monetary losses due to companies such as Uber and Lyft being allowed to compete with them. According to Forbes contributor and Communications Associate for the Institute of Justice Nick Sibilla, The Georgia Supreme Court unanimously upheld a lower court’s ruling dismissing a lawsuit alleging that a bill which allowed Uber and Lyft to operate in the state was unconstitutional.

The complaint by taxi companies centers around state law that requires taxi companies to operate under a “medallion system.” These “medallions” or “certificate of public necessity and convenience” (CPNC) permit taxi drivers to operate within a city or town. Over 20 years ago, the city of Atlanta determined that it would only allow 1,600 medallions for that city.

However, Georgia lawmakers passed House Bill 225 (HB225) in 2015, opening the door for ride sharing companies such as Uber and Lyft to operate freely on the state level, preempting local laws that burdened the companies. While HB225 banned the creation of new […]

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