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Uber Technologies Inc. must face trial over its boasts that its ride-hailing service is safer, easier and quicker than taxis.
U.S. District Judge Jon Tigar in San Francisco ruled Friday that Uber made “objectively verifiable” claims that could be tested at trial.
Yellow Cab Co. and 18 others that operate in California metropolitan areas including San Franciso and Los Angeles sued Uber in March, claiming it misleads customers about its background checks for drivers and driver safety.
While allowing the case to move forward, Tigar tossed the taxi companies’ claims that Uber’s advertising is fraudulent and that they are owed restitution. He also dismissed an unfair competition claim.
Uber was sued in December by the district attorneys of San Francisco and Los Angeles, who accused it of falsely assuring customers that it used “industry-leading standards” to vet its drivers while failing to use fingerprints to check criminal histories.
The case is L.A. Taxi Cooperative Inc. v. Uber Technologies Inc., U.S. District Court, Northern District of California (San Francisco).
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This article was written by Robert Burnson from Bloomberg and was legally licensed through the NewsCred publisher network.