Wednesday, October 01, 2014

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Lyft to Return to Court Amid TLC Controversy

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Lyft and state regulators will be back in court at the end of the week as the two sides try to figure out how to get the ride-share service operating in the city legally.

Lyft originally planned to launch in Queens and Brooklyn last week but is working with the Taxi and Limousine Commission, the state attorney general's office and the Department of Financial Services on a mutually beneficial solution.

The state attorney general has applied for a temporary restraining order, but a temporary restraining order has not yet been issued.

At issue is the company peer-to-peer model, which uses an app to connect passengers with its own community drivers.

In the meantime, Lyft says it has agreed to begin operation in the city with TLC-licensed drivers.

The commission says it wants the app aligned with laws made to protect New Yorkers.

"We have certain safety standards with respect to the car, 200-point inspection, insurance standards with respect to the type of insurance that the vehicles carry and vetting standards for our drivers and it's an important public policy objective of ours to make sure that every passenger gets the benefit of those protections," says TLC Chair and CEO Meera Joshi.

Lyft says it operates a peer-to-peer service in dozens of other cities, and will continue to push for that model here.

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