Uber is a transport company not an information service, Advocate General Maciej Szpunar has told the European Court of Justice (ECJ) in a case brought by Spanish taxi drivers.
Advocate General’s Opinions, while not binding, are nearly always followed by the ECJ.
Advocate General Szpunar said the Uber app falls within the field of transport therefore the company must observe the necessary licences and authorisations under national law. Uber had argued it was protected by the freedom to provide services guaranteed by EU law for information society services.
Advocate General Szpunar observed that the drivers do not pursue an autonomous activity independent of the Uber platform. On the contrary, their activity exists solely because of the platform. He said Uber imposes conditions on, and financially rewards, the drivers, exerts control over the quality of the drivers’ work, and effectively determines the price of the service. He said the service amounts to the organisation and management of a comprehensive system for on-demand urban transport.
The case, Asociación Profesional Elite Taxi v Uber Systems Spain, SL (Case C-434/15), involved a challenge by Elite Taxi against Uber for alleged unfair competition. Elite contended that neither Uber nor the owners or divers of the cars had the licences and authorisations required under the City of Barcelona’s regulations on taxi services.
The Uber app allows people to connect with nearby drivers using an app. When the driver accepts a trip, the app notifies the potential passenger and displays the driver’s profile and estimated far. The fare is automatically charged to the passenger’s bank card.
In October 2016, an employment tribunal held that Uber’s drivers are workers, and thus eligible for holiday pay, the minimum wage and other rights. Uber had argued that it was a technology firm and the drivers were self-employed contractors.
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