Tel Aviv Court Bans Uber's Ride-sharing Operation in Israel

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Tel Aviv Court Bans Uber's Ride-sharing Operation in Israel

At the beginning of November, Uber Israel began operating its UberDAY ridesharing service in Tel Aviv and the neighboring cities of Ramat Gan and Givatayim with journeys undertaken to Herzliya in the north and Bat Yam in the south.

Tel Aviv District Court Chief Justice Eitan Orenstein said that without proper travel insurance, Uber would have to stop its private vehicles from ferrying passengers in Israel within two days.

Uber is also banned in London, Bulgaria, Denmark, Hungary, Italy and several US States.

Uber said it remains committed to working with the Israeli authorities "to explore how technology can improve our cities with safe and affordable transportation alternatives".

The convenience of tapping on a phone for a ride has lured tens millions of riders worldwide to use Uber.

Under Israeli law, only registered drivers can work as taxi drivers, and the law would need to be changed for Uber to become legal.

In addition to the lack of safety regulations and testing for Uber drivers, they cite fears the company will cause rates to plummet, preventing drivers from earning a living wage. Since October 2016, Uber Israel had been operating its UberNIGHT service in Greater Tel Aviv.

Uber launched its pilot ride-sharing program in Israel past year, but has faced opposition from the Transportation Ministry, which filed suit against the company in May for violating regulations.

The injunction will go into effect on Wednesday. Other companies offering peer-to-peer ridesharing, like Israel-based Moovit App Global Ltd. and Google's Israel-based subsidiary Waze, have so far avoided being targeted by the transportation ministry.

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