A court in New York City has ruled that it is legal to use smartphone apps to hail taxis, throwing out a lawsuit by taxi unions who argued that app-based services violated city codes. The move opens the door for cab drivers and customers to start using apps like Flywheel and Hailo to organise a ride and, perhaps more importantly, pay for the trip at its conclusion.
It is also an opportunity for car company Uber to stake a claim in the NYC transport industry. Uber relies entirely on apps and online bookings to facilitate its service, with operations in over 30 cities around the world.
Objections to the introduction of apps came from several independent car companies and taxi union the Livery Roundtable. It was argued that app-based booking systems could create a discriminatory divide between drivers and customers based on age, race and location. With this issue finally settled, the Taxi and Limousine Commission is expected to launch a pilot program for app-based taxi hailing shortly.
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