Tuesday, December 9, 2014

Fighting Free Markets: Orlando Government Wants Uber to Charge 25% More Than Taxis

Under proposed rule changes, Uber rides in Orlando, FL would be classified under "livery vehicles." Drivers would be forced to charge 25 percent more than the minimum fare for the taxi rate, and ride-share drivers would need permits, and would have to provide contact information so customers could make complaints and reclaim lost property.

"Customers love the service. Everybody is happy. They pay the bill. No stress," says Serge Jeanjacques, an Uber driver.

City commissioners voted late Monday night to force Uber drivers to charge $3 per mile or a $20 minimum fee, but that proposal faces a second reading. A date for the second reading of the proposed changes has not been set.

The great fear of  the owner of Mears Transportation:, the  largest local taxi company: He says he believes Uber drivers will just ignore the new regulations.

Go Uber!

(via WESH Orlando)


  1. and Uber should ignore the regulations. Do they plan to put Uber drivers or execs in jail for charging too low a price? How do city commissioners think it will look when it blows up in their face?

  2. So they're basically passing a minimum wage law to protect establishment taxi companies from competition with lower cost competitors. And the fear is that the low cost competitors will be forced to take their business into the black market.

  3. I'm impressed with Uber's growth so far and their ability to move faster than the regulators allowing Uber to establish a defendable market position. However, before cheering them on a little perspective might be useful. Today (12/10/2014) there is an article on marketwatch.com about Lending Club's IPO playbook. It lists four things they did to become successful. (1) Investor Focus; (2) Curation; (3) Respect for regulators; and (4) The team matters. At first I thought they were misusing the word curation as it is derived from curate which is defined as "a clergyman in charge of a parish" and curator defined as "one in charge of a museum, zoo or other place of exhibit." But reviewing all four steps I realized the author has replaced entrepreneurship with curation. A new term to identify the type of management necessary for success in todays regulated world. And it sounds so much better than crony capitalist. Urber appears to be executing these steps very well. And so its success is not a success for entrepreneurism but for curation.

    1. As an Uber "black" driver in Philadelphia, I question our company's "Respect for regulators" (3). We, the Uber black and SUV drivers had to pass the PPA's test, buy a permit and be registered as limousines, using "LM" plates. For about six months UberX operated outside the city, in the suburbs and south Jersey. When one of the taxi companies had an insurance issue, UberX came in to Philly to cover the gap. The PPA, who controls the taxis and limos, were not happy about that, seized six cars, gave $1,000 fines (which Uber covered) and has been having an issue with UberX. Despite that and with the above mentioned taxi company back in business, I believe UberX is entrenched and is bound to stay. Of course, Uber Black business has suffered. In addition we pay an enormously greater insurance cost.