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March 06, 2015

Oregon city of Eugene sues Uber, citing safety regulations

City wants the company to meet “minimum safety requirements”

Uber Transportation
Uber John Locher/AP

Uber West Coast Regional Manager William Barnes sits in the back of a car during a photo shoot Friday, Oct. 24, 2014, in Las Vegas. The ridesharing company has begun operations in Nevada.

PORTLAND, Ore. - The Oregon city of Eugene has sued the ride-sharing firm Uber to stop the company from operating until it agrees to follow local safety regulations, officials said on Friday. 

The city filed a lawsuit in Lane County Circuit Court on Thursday asking the court to stop Uber from operating until it meets what the city calls “minimum safety requirements,” said Laura Hammond, Eugene’s communication and policy analyst. 

The city and Uber have been in talks about regulations since the ride-sharing service launched there in September, but hit an impasse over what regulations the company should follow. The city has also fined Uber $146,000, which Uber is appealing. 

“Our goal isn’t to shut Uber down. It’s really to ensure the minimum public safety requirements,” Hammond said. “We were really hoping they would be willing to work with us the same way they did with Portland." 

Uber suspended operations in Portland in December, agreeing to give that city until April to come up with revised ride-sharing regulations. But Uber officials complain that Eugene has been more rigid, and that a city decision to add Uber to its for-hire code sets its services up for failure. 

“While jurisdictions across the country, including neighbors like Vancouver and Portland, work to craft regulations that ensure public safety and embrace ridesharing, Eugene city leaders decided to hide behind bureaucratic red tape," Brooke Steger, Uber General Manager for the Pacific Northwest, said in a statement. 

Uber has been fighting with cities across the country, contending it is not a taxi service and should not be required to adhere to existing taxicab regulations.

At issue in Eugene are city regulations that include background checks conducted by local police, proof of insurance, and proof of a mechanical inspection that shows they can verify safety features, Hammond said. 

Uber contends it already conducts its own third-party background checks and provides commercial auto insurance coverage. 

Hammond said the city has made good faith efforts to get Uber under an umbrella of regulations. 

“We’re still hopeful but at some point you kind of have to go to the next step,” she said. 

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