Experts: Taxi operators face uphill battle in suit

Written By Unknown on Minggu, 18 Januari 2015 | 22.27

A lawsuit filed by taxi owners claiming Boston and state officials are violating their rights by allowing ride-sharing services like Uber and Lyft to skirt regulations they must follow faces an uphill battle, legal experts say.

"I think they would have a very difficult time proving they were being treated unequally," said Janice Griffith, a law professor at Suffolk University. "It's very difficult to overturn regulations that a state makes."

The lawsuit, filed in federal court on Friday, claims Boston and the state are unfairly requiring taxi owners to purchase expensive medallions while allowing Uber and Lyft to operate without following the same regulations. The taxi owners claim the two-tier system is causing them economic harm.

A spokeswoman for Mayor Martin J. Walsh yesterday said they had yet to see the lawsuit and had no comment.

Griffith said the defendants — including Boston, the state Department of Public Utilities and state Department of Transportation — would only have to show there is a reason to treat the two categories differently.

The court likely would not look favorably on the suit if "there's any reasonable basis or rational basis for the different treatment between taxis and ride-sharing service," she said.

Christian Samito, a lawyer with Jouret & Samito, said the court is unlikely to rule in favor of the medallion owners.

"I don't think there's an argument that the city owes you something," Samito said. "New industries necessarily destroy old industries, and I think that's what we're seeing here."

He said there is also Supreme Court precedent in favor of competition like Uber.

In the early 1800s, the U.S. Supreme Court ruled that Massachusetts was not prohibited from granting permission for a new, competing — and eventually cheaper for travelers ­— toll bridge despite granting permission for a bridge several hundred yards away.

"The Supreme Court basically says if you follow that line of argument, then you stop the line of progress," Smito said.

In a separate motion, the taxi owners also ask for a preliminary injunction to block the state's regulations.

The first set of state regulations has been filed, and now the Department of Public Utilities must file legislation to get approval to regulate the industry.


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