Saturday, July 26, 2014

Lyft finally has approval to continue with its New York City launch


Lyft finally has approval to continue with its New York City launch


Lyft is finally launching in New York City, but it’s making some concessions to do so. After a back-and-forth battle between Lyft and the city, the two have finally struck a deal that will allow Lyft to begin offering service throughout the city’s five boroughs, but only so long as Lyft drivers register with the city’s Taxi & Limousine Commission.


That makes Lyft’s operation in New York distinctly different from its modus operandi: Lyft’s fleet is usually composed of anyone who has a car and some free time, but in the city they’ll all have to be registered cab drivers. Recode reports that Uber’s UberX service, which usually operates like Lyft, follows these same rules in New York.


Yesterday’s agreement suggests that the commission might be accepting technology with the potential to upend how it does business. As part of the new agreement, Lyft drivers will meet a host of requirements. They’ll submit to annual drug testing, attend a state-certified driving course every three years and get fingerprinted.


Lyft said it would continue to work with the TLC on new rules for peer-to-peer transportation in New York. As part of its agreement with the city, Lyft will pause operations in Buffalo and Rochester by Aug. 1 while it works with the Attorney General’s office to “align New York State’s insurance laws and regulations with emerging technologies of the 21st century.”


Lyft initially attempted to launch in New York City earlier this month, quite blatantly skirting the local taxi laws, perhaps in an attempt to force a regulatory showdown. Certainly, it got just that. Regulators jumped on Lyft before a single one of its cabs hit the road, stopping its launch because of its failure to follow the laws in place governing taxi services.


The two sides had something of a public war of pointed fingers over the launch holdup, but ultimately it appears that Lyft has just agreed to follow the law. It’s apparently legal issues that are holding up Lyft’s operations in Buffalo and Rochester too, and Lyft makes it sound as though some regulations will need to change around insurance before it can start up again in those locations. Read more about the story here.


The post Lyft finally has approval to continue with its New York City launch appeared first on Uberly.






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