Las Vegas Sun

March 28, 2024

Justices soon may decide Uber case’s venue

Updated Monday, Nov. 24, 2014 | 5:05 p.m.

The Nevada Supreme Court could decide as early as Monday whether a judge in Reno or one in Las Vegas should hear a bid by state taxi regulators and limousine firms to block ride-sharing company Uber Technologies from operating in the state.

The high court received written arguments from both sides last week on an expedited schedule that would allow the justices to rule before a court hearing set Tuesday in Reno. Washoe County District Court Judge Scott Freeman is scheduled to decide whether to extend a temporary order he issued last month to stop Uber from doing business in the state.

"There is no reason, nor would it be appropriate, for both the case in Clark County and the case in Washoe County to move forward simultaneously," said attorney Donald Campbell, representing Uber.

The state attorney general's office and a lawyer representing Bell Limo and Whittlesea Checker Taxi argued that although the Nevada Transportation Authority sought restraining orders in courts in Reno, Carson City and Las Vegas, written documents were submitted first to Freeman. The Carson City case was later consolidated with the Washoe County case.

Uber argues that it provides the technology for riders and drivers to connect. It wants the case heard by Clark County District Court Judge Douglas Herndon, who declined Oct. 29 to issue a temporary restraining order against the ride-sharing company. Herndon said the state failed to show Uber was causing irreparable harm.

Beyond the venue dispute is a key question: Does an Internet application matching riders with drivers using their personal cars infringe on the franchise rights of taxi companies and cab drivers to shuttle fare-paying passengers to places like airports and the Las Vegas Strip?

Uber spokeswoman Eva Behrend said Monday that thousands of passengers have used the service since it launched Oct. 24, and the company stands behind its "driver partners."

Nevada Taxi Authority agents have issued citations to Uber drivers and impounded cars after posing in some cases as passengers.

Teri Williams, spokeswoman for the Nevada Department of Business and Industry, said at least 38 Uber drivers have been issued citations accusing them of operating without proper permits and their vehicles have been impounded.

Campbell, an Uber attorney, argued that the state first sought an injunction in Las Vegas, where Uber faces fierce opposition from the taxi industry in the popular Las Vegas Strip area and nearby McCarran International Airport.

Todd Bice, a lawyer representing taxi companies, declined to comment Monday.

"Uber should not be rewarded with a further delay so as to continue its operations," he said in a written filing submitted Thursday.

Herndon, the state court judge in Las Vegas, accused prosecutors last week of forum-shopping in an effort to have the case decided by a judge likely to favor the Nevada Transportation Authority.

Senior Deputy Attorney General Kimberly Arguello conceded to Herndon that her office handled the filings "inartfully."

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