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Uruguay: Talks stalled between Uber and Government

By  |  August 30, 2016

The ride-sharing multinational Uber and Uruguay’s local governments, in their attempt to stop or regulate the company’s services, seem to have hit a standstill in their negotiations. In the meantime, the ride-sharing app has continued to operate within the country, with different possible solutions proposed.

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    The company sent authorities in the Montevideo and Canelones departments a letter, in which Uber invited the city heads to enter a “space for dialogue”. Uber has said it is willing to find a suitable regulatory framework, which would allow these departments to have ”better alternatives for mobility.” The reply however was the same as last November’s attempt: There can be no negotiations unless Uber stops its opperations. The company has rejected this compromise, defending the legality of their service and offering to support drivers who receive a fine.

    Uruguay’s Chamber for Industry and Technology have criticised current law projects which seek to regulate Uber and other similar services, as they consider it may remove the incentive for technological innovation. The Commission for the Promotion and Defense of Competition, part of the Ministry of the Economy, has said the project making the rounds would be redundant, as both state and local governments already have the ability to regulate Uber’s business.

    Full Content: El Observador

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