Ruling against Uber: "Uber X" may no longer be operated in its current form.

A Cologne taxi company has prevailed in court: Uber's app violates central regulations for rental cars, according to the Regional Court. The company intends to appeal – the decision is not yet legally binding.

A user is holding a smartphone with a ride-hailing app open in their hand – the Cologne Regional Court prohibited the use of the Uber app “Uber X” in its current form due to a violation of the Passenger Transport Act. | Photo: Priscilla Du Preez via Unsplash
A user is holding a smartphone with a ride-hailing app open in their hand – the Cologne Regional Court prohibited the use of the Uber app “Uber X” in its current form due to a violation of the Passenger Transport Act. | Photo: Priscilla Du Preez via Unsplash

The Cologne Regional Court has ruled that the use of the app "Uber X" for the brokerage of rental cars violates the Passenger Transport Act (PBefG). The lawsuit was filed by a Cologne taxi company, which saw in Uber's brokerage practices an impermissible competitive advantage.

According to the court, rental-car drivers in Germany may only accept orders that originate at the operating base of the respective company. Uber, however, enables its drivers to accept trips directly via the app on their smartphones—without connection to the central office. The court saw this as a circumvention of the statutory rule and prohibited Uber from using the app in its current form.

Impact on the ride-hailing service

The ruling concerns Uber's central ride-hailing service in Germany. Specifically, the court criticized the technical process of ride acceptance via the app. For Uber X users, the decision initially has no immediate consequences, as the judgment is not yet legally binding.

Uber considers an appeal

Uber announced that it would review the written reasoning behind the judgment and consider an appeal. Until the expiry of the appeal period or during a possible appeal procedure, the decision remains provisional and not legally binding. (Source: Berliner Kurier)

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