The American company operates from today in Palma, Calvià, Andratx and Llucmajor under the Uber Mallorca logo with a fleet of 50 luxury cars following the decision of the Supreme Court which has ruled in favour of Uber and Cabify on the island
Uber Mallorca starts operating today on the island with a fleet of e0 vehicles using the Uber Mallorca logos. It is also offering agreements with taxi drivers to use its mobile app in addition to the VTC service.
The company will have a fleet of cars to provide the VTC service, but is also seeking agreements with taxi drivers so that they can work through Uber’s mobile application (app). Initially, they will not have to pay any commission until 31 August, they will receive 300 euros for each recommendation and 150 euros for completing the first 25 journeys. For the first four weeks, drivers will receive €300 per week for completing 50 trips each week.
The Supreme Court, in favour of Uber and Cabify in Mallorca
The US company’s decision comes after the Supreme Court ruled in favour of Uber and Cabify’s private transport services in Mallorca.
The Balearic Government filed a previous lawsuit against the licence, together with the Association of Self-Employed Taxi Drivers of Mallorca. The lawsuit was dismissed and 225 licences were granted in the Balearics. Now, Uber and Cabify customers will also be able to benefit from this type of transport, which is in direct competition with taxis.
The implementation of Uber in Mallorca comes after the Supreme Court ruled illegal the main tool put in place by the Balearic Islands to prevent the installation of this type of platforms and the use of VTC vehicles. By means of a 2019 decree law, the Govern imposed on them the obligation for the service to be booked 30 minutes in advance by the user. The Court annulled an identical provision in the Basque Country because it considered that it violated the constitutional right to freedom of enterprise.
The case of the Balearic Islands
In the case of the Balearic Islands, the regulation took place through a law that the Supreme Court cannot annul as easily as it did in the Basque Country. However, last April it deliberated on an appeal brought by the companies Ares Capital and Aucona Servicios Integrales. It decided to raise a question of unconstitutionality and refer the matter to the Constitutional Court to decide whether the provision is legal or not.
The matter is awaiting a ruling on the merits by the Constitutional Court, which will allow the provision to be annulled and, in the meantime, remains in force. In fact, there are a series of contentious proceedings open in the courts for sanctions imposed against car hire companies for the application of this decree law, almost all of which refer to Eivissa and which have resulted in the validity of the fines. Uber’s general manager for Spain and Portugal, Felipe Fernández Aramburu, has travelled to Palma to finalise all the details of the launch of Uber in Mallorca. As he explained, car rental companies on the island will collaborate closely with Uber in its development in the Balearics.
Concern in the Government over the Supreme Court’s decision
The Conselleria de Mobilitat i Habitatge has stated that the admission of the Constitutional Court’s appeal does not change anything at the moment and considers that “it is just another phase in the judicial process, so until there is a ruling there will be no changes to the rule that regulates the need for a 30-minute prior hiring of the VTC service”.
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