Trial of Vinasun-Grab civil case suspended for one month

Representatives of taxi operators were present at the court. (Source: VNA)  HCM City (VNA) – The jury onFebruary 7 decided to suspend the trial of a civil case between domestic taxi operator Vinasun and Grab, apopular ride hailing service, for one month after hearing statements byrepresentatives of both sides. The jury asked Grab to present relevantdocuments such as e-contracts and other contracts between the company andtransportation cooperatives. The suitwas initiated by Vinasun against Grab on accusations of unfair businesspractices.   Vinasun,once a dominant player in taxi transport in the southern region, has seen itsmarket share gradually eaten away by Uber and Grab as they continue to gainpopularity, especially as the number of smartphone users in the country rises.Vinasun claims the ‘illegal operations’ of Grabin Vietnam are to blame for the company’s falling revenues in 2016 and2017, some 40 billion VND (1.756 million USD).This is thefirst time the increasing tension between conventional taxi operatorsand their app-based counterparts took to the fight to the courtroom, all whileVietnamese lawmakers seek to construct appropriate legal toolsto effectively regulate these emerging services.A new draft decree is in the works, which wouldrequire Grab and Uber offices in Vietnam to register for licences as anenterprise doing ‘electronic business’ and transport cars must have easilyidentifiable logos on both front and back windows.-VNA


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