Council says no to seeking injunction against Uber, for now - Action News
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Toronto

Council says no to seeking injunction against Uber, for now

Toronto city council voted Wednesday not to seek a court injunction against Uber and individual UberX drivers right now, but has left the door open to pursue that course of action in the future.
Toronto taxi drivers are seeking an injunction against Uber, which they say is undercutting their business. (Nathan Denette/The Canadian Press)

Toronto city council voted Wednesdaynot to seeka courtinjunction against Uber and individual UberX driversright now, but has left the door open to pursue that course of action in the future.

The city'slicensing and standards committee had asked council to seek theinjunction.However, the city's legal department arguedagainst pursuing that course of action now, saying it wasunlikely it would be heard by the courts before new taxi rules gobefore council inApril.

With city staff working to draft newbylaws aimed at bringingUberXinto the city's regulatoryfold, city solicitor AnnaKinastowskisaid pursuing an injunction now would likely bea waste of time.

"Any injunction application if brought today would not be heard until the summer at the earliest," she told council. "All of these things take time."

Staff from the city's legal department said they are continuing to issue ticketsto some of the estimated20,000UberXdrivers operating illegally.

At Wednesday's council meeting, Mayor John Toryagreed with the city's lawyers, saying an injunction should wait until it's more likely to be successful.

"If you go forward a second time and lose, you weaken your position," he said.

Council ultimately voted on Tory's amendment to the motion, which directs city staff to seek an injunction at the "appropriate" time.

Earlier, Coun. JimKarygiannissaid waiting to file an injunction would letUber"off the hook."

A previous attempt by the city to obtain an injunction failed when the judge ruled that city bylaws did not apply to Uber's lower-costUberX service, which allows riders to hail private cars. Last month, the city issuedUbera brokerage licence, but the company continues to dispatch cars that operate via itsUberX service.

The city has askedUberXto cease its operations while new rules are drafted, but the company has continued to operate. This has raised protests from traditional cabbies who say Uber should not be allowed to operate illegally.

Toronto's move to consider an injunction followsCalgary's successful attempt to put UberX on hold with a temporary injunction while that city drafts new regulations.

There are reports that traditional taxi drivers may take action during next weekend's NBA All-Star game if an injunction isn't in place.

Traditional cabbies have complained that Uberwith its lower operating costsis undercutting them and threatening their livelihood.