Eight taxi drivers sue ride-sharing apps for $848 million in Argentina

A group of eight taxi drivers in Mar del Plata, Argentina, has launched a substantial civil lawsuit against major ride-sharing platforms Uber, DiDi, and Cabify. They are collectively demanding over $848 million in compensation, citing unfair competition as the core issue in their legal battle.

The drivers argue that they operate in full compliance with municipal regulations for taxi services. In contrast, they contend that drivers using the ride-sharing apps are violating Ordinance 23.928, enacted in 2019, which prohibits the operation of passenger transport platforms lacking government authorization. This disparity, they claim, has led to a noticeable decline in their business since 2020, impacting both their income and morale.

The extensive claim includes various compensatory categories. Each of the eight drivers is seeking $10 million for moral damages and $1 million for psychological damages. Additionally, they are claiming $15 million for lost profits. A significant component of the lawsuit is the demand for $80 million per driver specifically for the loss of value in their taxi licenses, totaling $106 million per driver and summing up to $848 million before interest.

Adding to the ongoing dispute, the National Federation of Taxi Drivers and its Mar del Plata delegation recently voiced strong opposition to a proposal by the La Libertad Avanza party bloc. This proposal aims to unify the taxi and ride-sharing app systems, suggesting changes such as eliminating vehicle age requirements, banning motorcycles, and removing state regulation of taxi and "remise" (similar to taxi) fares. The legal case, initially filed in two separate courts that declared themselves incompetent, has now been elevated to the Supreme Court of the Province of Buenos Aires for a ruling on jurisdiction.