Uber Technologies beat antitrust claims in San Francisco federal court, dodging another challenge to its business model one day after defeating predatory pricing claims in California state court.
The lawsuit accused Uber of dominating the San Francisco market by relying on its US$25 billion “venture capital war chest” to weather losses while it undercut traditional taxis with below-cost prices. It was filed in the US District Court for the Northern District of California by Flywheel Taxi, which claims it’s the city’s oldest cab company.
Originally a San Francisco-based taxi company filed a lawsuit against Uber, alleging the ride-hailing company is engaging in anti-competitive and misleading practices.
In its lawsuit the US District Court for the Northern District of California, Flywheel Taxi claims Uber had misled drivers and customers about pricing, safety, driver income, its tipping policy, and even location and response times of cars. The complaint also claims that Uber has violated federal law prohibiting discrimination based on disabilities, California anti-discrimination laws, and San Francisco’s transportation regulations for taxis.
Full Content: Bloomberg
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