Top Vietnamese taxi company sues Grab for $1.84 mln in losses

The opening statements of a dispute between Vietnam’s top taxi firm Vinasun and the Malaysia-based ride-hailing firm Grab were heard by the People’s Court of Ho Chi Minh City on Tuesday. Vinasun is trying to sue GrabTaxi Vietnam for “unhealthy competition” and dumping its service on the domestic market to drive out local competitors. One of the most convincing charges the company has put forward is that GrabTaxi Vietnam ran promotions for more than 90 days in a single year, which is against the law. “This has caused losses to Vietnamese taxi firms, including Vinasun,” the plaintiff said. The company said it has submitted documents, photos and videos to the court to prove that Grab has violated the law by dumping its service on the local market. Vinasun is looking for VND42 billion ($1.84 million) in compensation, calculated by the profit loss it claims to have suffered due to Grab in 2016 and 2017. However, a legal representative for Grab said the suit filed by Vinasun is groundless because the company has failed to show how it has calculated its alleged losses. Grab said it has been operating since 2016 on a trial basis approved by the Ministry of Transport. Together with Grab, nine other companies are currently operating ride hailing businesses in Vietnam, so if Vinasun wants compensation it should file a suit against the Ministry of Transport, the representative said. “The matter does not come within the jurisdiction of this court; it lies with state management agencies,” the… [Read full story]


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