Uber Cannot Operate in Nevada Pending Regulator Case

Uber Technologies Inc. was blocked from operating in Nevada by a judge in Reno after regulators succeeded in getting the case taken from a judge in Las Vegas who had refused the halt the mobile car-booking service.

Nevada District Court Judge Scott Freeman yesterday granted the state’s request to halt Uber’s operations pending the outcome of a lawsuit over whether the business is operating legally. The Nevada Transportation Authority alleges Uber, which began service in the state last month, doesn’t have the required license to transport passengers.

San Francisco-based Uber has run into controversies as it has debuted in new markets, including roiling established taxi and limousine industries and facing regulatory hurdles. Some drivers for the service have also complained about the company’s commission structure.

The Nevada Supreme Court two days ago denied Uber’s request to halt the case in Reno in favor of the state’s lawsuit in Las Vegas. Nevada regulators had brought legal action in three different state jurisdictions and a judge in Las Vegas last month had denied the transportation authority’s request to immediately shut down Uber.

“We will continue to work with regulators and state leaders as we evaluate this development,” Eva Behrend, a spokeswoman for Uber, said when asked for comment on Freeman’s ruling.

The case is NV Transportation v. Uber Technologies, CV14-02284, Second Judicial District Court, Nevada (Reno).