Berlin's LABO is taking consistent action against illegal rental cars – Uber & Co. are still unstoppable
In the course of combating illegal structures in passenger transportation, LABO has taken another decisive step according to its own statements. All taxi companies and vehicles registered with the mediation platforms Taxi-One (App taxi.eu and radio mediation), Bliq, Bolt, Freenow, and Uber on November 1, 2024, underwent a comprehensive review to ensure compliance with the licensing requirement under the Passenger Transportation Act (PBefG). A total of approximately 13,000 data records (vehicles) were retroactively reviewed to November 1, 2024, at the beginning of this year. This number represents the total number of vehicles registered on the platforms, with an average of 3,100 vehicles attributable to the four largest providers (excluding Bliq). Many companies register their vehicles with several platforms for mediation. Of the reviewed vehicle data records, 663 were objected to.
LABO objected to vehicles for which no license had been granted, a license had already expired, or had been revoked by LABO due to violations. Additionally, vehicles were found that were not covered by an existing license.
Since mid-2023, a preliminary check is carried out
According to its own statements, the LABO will take action against the companies in question, as long as the companies have demonstrably continued to provide transportation services.
To ensure compliance with legal requirements, intermediaries have been required, as part of an agreement with the LABO, to have new rental car companies and vehicles checked in advance by the LABO since August 2023. Starting from December 2024, the procedure will also be applied to taxi companies and vehicles. This ensures that transport orders are only assigned to approved vehicles. In collaboration with the police, the LABO checks compliance with the requirements as part of traffic controls.
Combating Illegal Structures through Consistent Measures
The inventory reconciliation is part of LABO's comprehensive measures to combat illegal structures in the market for passenger transport with cars. As early as 2024, 74 licenses for rental car companies with 1,427 vehicles were revoked and 143 applications for the approval of new rental car companies with a total of 1,917 vehicles were rejected. By the end of March 2025, the licensed fleet of rental cars was down to 436 companies with 2,335 vehicles—a significant decrease compared to December 2023, when 695 companies with 4,498 vehicles were registered. The stock of licensed vehicles has thus been reduced by over 2,000 vehicles. To ensure compliance with legal requirements, 779 taxis and rental cars were inspected, and 494 operating sites of rental car companies were examined in cooperation with the police.
Court Confirms LABO's Approach
It is particularly noteworthy that the LABO was able to decide on 32 applications in summary proceedings before the Administrative Court and eight applications in summary proceedings before the Higher Administrative Court in its favor. The courts confirmed violations of the return obligation, lack of business premises, and insufficient financial capacity as reasons for the dismissive decisions by the LABO. In all cases, the legal opinion of the LABO was followed—a clear sign of the legal certainty of the official measures.
Additional Positions Created
All these measures were made possible because the LABO assigned and filled additional positions through internal prioritization. Additionally, work processes were adjusted and collaboration with other authorities (particularly the Senate Department for Finance, the Main Customs Office, the Professional Association for Transport, and the State Office for Occupational Safety, Health Protection, and Technical Security Berlin) was further intensified at the initiative of the Senate Department for Mobility, Transport, Climate Protection, and Environment. These structural adjustments allow for effective market monitoring in the future and the consistent removal of unscrupulous players.
An agreement with the mediation platforms was also reached that a renewed retrospective audit of all rental car companies and vehicles will be conducted in the coming months.
Uber & Co. Avoid
Anyone observing traffic in Berlin will quickly realize that significantly fewer rental cars with Berlin license plates are now on the road—but in turn, the rental car fleet with plates from the surrounding districts has increased explosively. Unfortunately, experience shows that rental cars from MOL, LDS, or other Berlin surrounding districts not only occasionally drive passengers from MOL or LDS to the city and then correctly return to their headquarters, but that these rental cars are also soliciting customers in the capital.
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