- The approval comes along the heels of the company’s efforts towards positive changes.
- The legal victory was followed by a 6% rise in shares from premarket trading.
According to reliable sources, U.S. based transportation network company, Uber Technologies Inc., has reportedly won a court battle and secured its rights to operate in London. The court also reportedly granted the company a revisited 18-month license for its London operations.
The approval comes along the heels of the company’s efforts towards positive changes as well as improvements in its current business model including a new system, wherein the drivers’ identities are verified through facial recognition as well as human reviewers.
It is to be noted that the transport regulator TfL (Transport for London) rejected Uber’s appeal for a new license for the second time in 2019, citing several failures that allegedly put passengers at risk.
Apparently, Uber’s system had allowed unauthorized drivers to carry out fraudulent journeys by uploading their photos to other drivers’ accounts. Despite losing its license, the company was operating in London on account of its appeal for the revocation of the ban.
Judge at the Westminster Magistrates’ Court Tan Ikram, passed a judgement that court is confident about Uber’s efforts towards public safety. The company is fit to hold a London PHV (private hire vehicle) operators’ license despite their previous fiascos, he added.
Speaking of the favorable hearing, Jamie Heywood, Uber’s Regional General Manager for Northern & Eastern Europe, was quoted saying that the court recognized the company’s commitment towards passenger safety.
If reports are to be believed, Uber’s legal victory was followed by a 6% rise in shares from premarket trading.
Although the ruling eliminates a major regulatory uncertainty for Uber, sources claimed that the company is currently fighting a legal battle in California that would see its drivers reclassified as employees.