Four Southland taxi companies sued Uber in federal court today, alleging the smartphone-based transportation network is deceptive by claiming it is “safer than a taxi.”
All Yellow Taxi in Gardena, Bell Cab in Hawthorne, Cabco Yellow in Santa Ana and LA City Cab in Sun Valley are among the plaintiffs in the false advertising suit filed in San Francisco.
Uber spokeswoman Eva Behrend called the lawsuit “frivolous” and “simply without merit.”
“As riders across the country know, Uber’s multi-layered driver screening includes county, federal and multi-state checks and the rating system and traceability of the Uber platform gives riders and drivers unprecedented transparency,” Behrend said. “This lawsuit was filed by an industry that for decades has ignored the safety of riders and drivers.”
The complaint alleges Uber misleads potential customers by falsely trumpeting that it offers “the safest ride on the road” and adheres to “the strictest safety standards possible.”
The taxi companies contend that such “deceptive” advertising has resulted in “significant harm” to their business and reputation by causing customers to spurn their business in favor of Uber rides.
“Plaintiffs’ taxi cabs vie for the same customers as Uber cars, and — as a result — compete for the same dollars,” the complaint says.
The lawsuit seeks unspecified damages.
