Embattled ride sharing service Uber may claim a valuation of $40 billion today, but that might not last for long. The company was kicked out of Nevada last month and has just been forced to cease its operations in Spain and Thailand while Portland, Oregon is considering similar action against it.
A judge in Spain this week ordered a temporary suspension of the company’s activities in that country until a lawsuit brought against Uber by the Madrid Taxi Association can be heard.
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Uber responded to the ruling stating that it was, “inconsistent with broad political acknowledgment in Spain and across the European Union on the benefits of sharing economy services. Uber will continue to comply with Spanish law and is currently assessing its legal options under this sudden and unusual proceeding’’
Spanish paper El Pais reported that Uber had no license or insurance for making connections between passengers and drivers for which it keeps 20% of the fare.
Thailand’s Department of Transport has also ordered Uber to cease its operations in that country. The decision came after a similar ban was implemented in India after accusations of rape were made there against an Uber driver. Thailand said that the decision was made because the company was misleading its customers since it did not have all-India permits.
“They have to stop operations immediately, ” Thiraphong Rodprasert, director-general of the Thai Department of Land Transport, told reporters.
Meanwhile officials of the City of Portland have asked a local judge to block it from operating in that city. The company only just began to offer its services there last Friday. The City, it seems, does not like the fact that Uber is operating there without a formal taxi license.
Its transportation Bureau has already issued two civil penalties against the company, one for operating without a company permit and the other for operating without a vehicle permit.
Portland Commissioner Steve Novick told AP, “If Uber thinks there should be no maximum price on what they charge Portlanders, they should make their case to the Portland City Council. If Uber thinks taxi companies shouldn’t have to serve people with disabilities, they should make their case. If Uber thinks taxis should not have to have proper insurance in case of a crash, they should tell us why we should allow that.”
For its part the company stated, “Uber continues to operate and looks forward to meeting the tremendous demand that we have already seen in just three days since launching in the Rose City.”
