whose purpose is to connect non-professional drivers using their own vehicles with people wishing to travel within the city for remuneration, must be considered inextricably linked to a transport service and classified as a transport service under EU law.

A Long-Standing Conflict Between Uber and the Taxi Sector in Spain

It is worth recalling that the entry of the American giant Uber into the Spanish market is at the root of the ongoing conflict between Uber and the taxi sector.

It was on September 23, 2014, that Uber began offering its services in Spain, applying the much more liberal American model, and simultaneously triggering the anger of taxi drivers.

Uber's services became so widespread that municipalities and transport authorities began to question their legality.

The case originated in Barcelona

In Barcelona, ​​the Catalan government's Directorate-General for Transport and Mobility fined Uber €4,001 for operating without prior authorization.

According to this agency, Uber's operations were governed by Ordinance 16/1987 of July 30 concerning Land Transport.

It is in this context that the Elite Taxi association filed a lawsuit with Barcelona's Commercial Court No. 3, alleging that Uber's practices constituted unfair competition.

It is on the basis of this appeal that the CJEU has just ruled.

Uber's defense

Uber, for its part, opposes this decision, arguing that the activity it developed consisted of managing a digital platform whose main service was connecting drivers and individuals, and that since this activity was regulated by Law 34/2002 of July 11 on Information Society Services, no prior authorization was required. (TS 13/03/2017-131/2016 and 1277/2027).

An adaptation of Spanish legislation

The Spanish authorities had no choice but to amend the law relating to land transport in order to define the legal framework for this activity.

This is how Decree 1057/2015 amended this law, allowing Uber to return to the Spanish market after its operations had been suspended.

The new regulations stipulate one private hire vehicle (PHV) license for every 30 taxi licenses and prohibit PHV drivers from soliciting customers on the streets, at airports, and in train stations.

A balance still contested

In June 2017, a study published by the Ministry of Development revealed that there are 65,030 taxis and 5,973 PHV licenses in Spain, meaning there is one PHV license for every nine taxi licenses in Spain, which is still quite far from what the law stipulates.

We are witnessing an escalation of the conflict with the taxi sector in Spain, which accuses PHV services of unfair competition.

For its part, Uber maintains its position and asserts that it is acting entirely legally and complying with all tax obligations required by Spain.

Protests and Social Tensions

This conflict has sparked taxi driver protests across Spain, with drivers demanding respect for the law.

One of the largest protests took place on May 30, 2017, mobilizing the entire taxi sector and culminating in a demonstration in front of the Spanish Parliament in Madrid.

At the European level, Uber is losing ground in other major cities; in fact, the company recently lost its license to operate in London.

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