London's black cab is seen on the Oxford Street in London, Britain.
Credit: Reuters photo
London: A UK law firm said on Thursday that it has filed a multi-million-pound group action in the city’s High Court on behalf of 10,887 licensed London black cab drivers in their claim against Uber for alleged losses sustained as a result of “unlawful activities” in the city's taxi market.
Mishcon De Reya said its claim filed in the Commercial Court relates to actions taken by the US-headquartered ride-hailing company dating back to 2012 under the private hire vehicle licence granted by Transport for London (TfL).
It is claimed their operating system did not comply with the requirements of the Private Hire Vehicles (London) Act 1988. Uber has denied the allegations and described the claim as 'unfounded'.
"Uber has consistently failed to comply with the law that applies to private hire vehicles in London and so we are pleased to be issuing today's claim on behalf of almost 11,000 London cab drivers," said Richard Leedham, Partner and Head of Commercial Disputes at Mishcon de Reya.
According to the claim, drivers of London’s iconic black cabs will allege that Uber's operating system did not comply with the requirements of the Act, that Uber knew this at all material times, and that in order to obtain its licence Uber 'deliberately misled' TfL as to how that operating system worked.
The claimants further alleged that Uber's intention was to 'gain market share unlawfully' and, by necessity, take business from existing black cab drivers.
“These old claims are completely unfounded. Uber operates lawfully in London, is fully licensed by TfL, and is proud to serve millions of passengers and drivers across the capital,” an Uber statement said.
The value of the claim is estimated at around 250 million pounds, with each of the black cabbies potentially eligible for compensation, according to RGL Management—the litigation claims management company representing the black cab drivers.