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Judge blocks e-hail taxi app pilot program in New York City

Skift Take

Will services like Uber return to the table and fight for the pilot program like big boys or will they take their toys and go home?

— Jason Clampet

A pilot program that would allow people in New York City to hail yellow cabs using a smartphone app was blocked by a judge on Thursday, handing a victory to private car companies that have said the program threatens their business.

Manhattan Supreme Court Justice Carol Huff granted a request from the livery companies to freeze the new “e-hail” program that had been scheduled to begin as early as Friday.

The order will be in effect until at least March 18, when the two sides are due to return to court to argue the merits of a lawsuit brought by the livery companies against the city.

The pilot program would allow people to use a phone application to request a yellow cab ride. Taxi drivers would be able to receive such requests and confirm pickup locations.

Private car companies rely on prearranged pickups. Under New York’s two-prong cab system, yellow cabs handle street hails but cannot accept phone pickups; livery cars do the opposite.

The program would be an option for New Yorkers accustomed to standing in the street and flagging down the city’s approximately 13,000 yellow cabs. E-hail apps like Uber and Hailo have become popular in other cities.

Reporting by Joseph Ax; Editing by Cynthia Johnston. Copyright (2013) Thomson Reuters. Click for restrictions

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