Challenges continue to mount against ride-sharing Uber, this time in the city of Portland, Ore.
Less than two weeks after the ride-hailing app Uber launched in Portland without officials’ approval, the company said it is suspending operations for three months to work out its differences with the city.
Uber has also faced opposition in other cities. Earlier this month, a judge ordered Uber’s temporary suspension in Spain, saying it represents unfair competition. It also faces legal challenges in California.
The state of North Carolina’s General Assembly plans to discuss regulation of the emerging so-called “shared economy” with Uber, Lyft and other offerings facing the possibility of legislation. Raleigh Durham International Airport also has cracked down on Uber drivers.
Uber offers services across most of the Research Triangle Park, N.C. area.
New Delhi banned Uber after one of its drivers was accused of rape, and police in the Indian city say there’s a possibility of criminal charges against the company if police find evidence it misrepresented the safety of its service.
And a Dutch court ruled that Uber violated current taxi laws and the company must stop working with drivers who charge fares but do not possess a taxi license.
General manager Brooke Steger wrote in a blog post Thursday that Portland is working to update its regulations for private for-hire transportation so that Uber would be able to operate legally.
“More than 11,000 Portlanders have signed our petition, showing support for a safer way to get around their city. In the few weeks Uber has been operating in Portland, over 10,000 rides have been delivered and well over 500 of your neighbors have signed up to drive. It’s because of this astounding support that local officials have come to the table to have a meaningful conversation on the future of ridesharing in Portland,” the blog post reads.
“Today, we are proud to announce that we have a commitment from Portland officials to create a regulatory framework for Uber within the next three months. If regulations are not available by April 9, the City will allow ridesharing companies to operate while they continue to pursue a long-term solution.
“While we continue to have these discussions, Uber will be pausing pick-ups within Portland city limits beginning the evening of December 21st so we can focus a concerted effort to giving Portlanders what they deserve — a safe, reliable option when it comes to transportation.”
Steger wrote that Uber will pause pickups within Portland city limits beginning Sunday evening. It hopes to resume them in early April.
Mayor Charlie Hales said in a statement that a task force will make recommendations by April 9 on permits, pricing system, insurance, background checks and safety inspections, among others. It will also examine how these changes would impact driver earnings and working conditions.
The regulations will encompass taxi cabs, transportation network companies, limousines, pedicabs and shuttle services. After the city approves the regulations, the Portland Bureau of Transportation will immediately start issuing permits.
The city sued Uber three days after its Dec. 5 launch, asking a judge to order the San Francisco-based company to cease operations. The city said Uber violated its rides-for-hire regulations.
But on Thursday, Hales’ spokesman, Dana Haynes, said the city was no longer seeking a restraining order.
Uber says it will continue operating in every suburb surrounding Portland, including Beaverton, Gresham, Hillsboro, and Tigard.
The company says that since it launched in Portland, it has delivered over 10,000 rides and more than 500 residents have signed up to become Uber drivers.
