France targets car-share service

Taxi groups in Paris and other cities are lobbying the French government to curb business that offer for-profit car-services.

PARIS - French authorities say they are going after for-profit car-sharing services, such as that operated by US firm Uber, warning the companies risk a 1.5 million euro ($A2.3 million) fine under a law being prepared.

The finance ministry says that "causing confusion between legal car-sharing" - in which expenses are divided between a vehicle's occupants - "and a for-profit transport service is a fraudulent business practice".

Although it did not mention Uber by name, the action by the ministry's division dealing with consumer fraud appeared to target the US company, which has just brought its commercial car-sharing service to France.

Uber's car-share system involves private car owners acting as a chauffeur for rates similar to those of licensed taxi drivers.

Taxi groups in Paris and other cities are lobbying the French government to curb Uber's development in the country.

The US company's chauffeur car service is already proving successful in Paris, where taxis are scarce and taxi drivers often brusque.

The finance ministry says its fraud division will start investigating car-sharing sites and applications to make sure they comply with the country's laws.


2 min read

Published

Updated

Source: AAP



Share this with family and friends


Get SBS News daily and direct to your Inbox

Sign up now for the latest news from Australia and around the world direct to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Follow SBS News

Download our apps

Listen to our podcasts

Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS

SBS World News

Take a global view with Australia's most comprehensive world news service

Watch now

Watch the latest news videos from Australia and across the world