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France's Thevenoud law, introduced in October 2014, requires
chauffeured cars to return to a base between fares, restricts
their use of software to find customers in the street and banned
unlicensed services, among other measures.
California-based Uber, which has run into fierce opposition from
established taxi services since it launched in Europe five years
ago, has filed a complaint with the European Commission against
the French law, arguing it favored regular taxis over Uber's
internet-managed ride-sharing service and that France should
have notified Brussels of the new measure.
The Commission is preparing to issue a so-called letter of
formal notice, the people said, which represents the first stage
of an infringement procedure where Brussels suspects that a
national measure breaches the EU treaties.
Uber allows would-be passengers to summon rides via a smartphone
app and has seen exponential growth in Europe as well as
numerous court challenges which have resulted in the banning of
its unlicensed taxi service, UberPOP.
Ultimately the Commission could take France to court if the two
do not come to an agreement.
The challenge could come in late May, the people said, although
no final decision has been taken yet.
A spokesman for the Commission said it was looking at how it
could "encourage the development of new and innovative services
and the temporary use of assets, without favoring one business
model over another."
"In mid-2016 we will provide guidance on how existing EU law
applies to the collaborative economy," Jakub Adamowicz said.
Last month a French court ruled that banning chauffeured cars'
use of geolocational technology to help passengers find
available cars was illegal and said France should have notified
the measure to Brussels.
The Commission is adjusting its challenge to take the French
ruling into account, the people said, which goes some way
towards alleviating its concerns with the law.
However other substantive problems with the law remain,
including the requirement that chauffeured cars return to a base
between fares.
(Reporting by Julia Fioretti; editing by Philip Blenkinsop, Greg
Mahlich)
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