Corrupt State Index: Virginia DMV Orders Uber And Lyft To Stop Operating Immediately
from the total-failures dept
Earlier this year, we noted that it was a pretty clear indicator of state or city corruption when those local governments figured out ways to ban innovative new upstarts, like Tesla, Uber or AirBnB. The latest state to jump up the corruption index, then, is Virginia. The Virginia DMV has told Uber and Lyft to stop operating immediately.
Virginia’s Department of Motor Vehicles sent cease and desist orders today to Lyft and Uber, telling the two ride services that they must stop operating in violation of state law or face fines against their part-time drivers.
The DMV had already issued civil penalties against the companies in April — $26,000 for Uber and $9,000 for Lyft — for trips that their drivers provided in Virginia despite warnings by the state agency that Virginia law does not allow their business model.
This is silly. Uber and Lyft (and others) have been shown to provide some great and convenient services pretty much everywhere else. And almost every attempt to block them seems to really be about keeping such transportation options more limited to limit supply and competition, allowing existing taxi companies to charge more (while being less convenient).