Uber has been hit with a hefty fine over skirting French insurance and licensing requirements – although it could have been much worse
Uber’s legal woes continue with a hefty judgment against the ride-sharing service by a French court.
The French government and traditional taxi drivers have accused the ride-sharing service of illegal practices. Recently, a French judge imposed a fine of about $900,000 – although half the amount was suspended – over the company’s UberPop service, according to a Speedlux.com report.
UberPop is a low-priced service that typically ferries passengers in “no-frills economy cars,” according to Speedlux.com. But the court ruled that UberPop skirted France’s taxi coverage and insurance requirements.
And those requirements can cost big bucks to fulfill. In Paris, for example, taxi companies can pay $300,000 to obtain a permit, Speedlux.com reported.
The judge also slapped two Uber executives with fines of $28,500 each. Pierre-Dimitri Gore-Coty, who heads up the company’s Europe, Middle East and Africa operations, and Thibaud Simphal, Uber’s general manager in France, were each charged with misleading business practices and complicity in operating an unlawful transportation service, according to Speedlux.com.
Still, the execs got off relatively easy. The judge could have imposed prison time and fines of up to $340,000, Speedlux.com reported.
Uber – which continues to operate in France – has said it plans to appeal the judgment.
