California Public Utilities Commission issues C&Ds to ride-sharing services Lyft, Sidecar, & Tickengo for operating w/o proper license; Lyft and Sidecar say they will stay on the road during open convo w/CPUC - Link

@jason: I took a Sidecar and the guy showed up with a 10+ year-old car and sped at 90 MPH down to Sand Hill Road from San Francisco. He was changing lanes like a maniac, his seat was reclined all the way back. It was actually commical. The upside was the $150 cab ride was only $50 or so. I'm all for the free market and think these services should be allowed on some level, but there are public safety issues around driving and insurance that are there for a reason. A nice compromise might be for the drivers to be insured, tested and bonded to a level that gives society the protection it needs. That being said, I understand the argument around "what business is it of the government if I give a friend $25 for giving me a ride to the airport?" How you define friend is part of that I guess. If I made Facebook friends with a Lyft driver, and they give me a ride to work every day and I compensate them, how is that the government's business? Complicated stuff.  

@johnzimmer reponse: @jason We do have a $1M excess liability insurance policy: http://blog.lyft.me/post/30998195495/1m-lyft-protection 

@mp3michael reponse: When the government gets into business sectors such as hotel and transportation they have a financial incentive to block competition. This is why they're cracking down on AirBNB to protect HOT (hotel occupancy tax) money and Uber (to protect cab licensing revenue). They'll always use safety as a smoke screen for the real battle which is money. People should always vote for more freedom. If people want high end cars they have options, if they want cabs they have options, why not a lower cost option? Let people decide.

@sunilpaul response: At SideCar we believe safety is central to building a thriving community, so we have a 10 point safety program that includes background checks and passenger ratings. We've removed dozens of drivers and passengers as a result of poor feedback (low star rating or blocking).

Like other peer to peer systems, getting this feedback and enforcement mechanism right is KEY to making the whole thing work. When it works its magic. Who would you rather trust for where to eat: Yelp or the health department?

And Michael - interesting to note that PUC fees pay for ... wait for it ... the PUC.

Sunil Paul
CEO
SideCar

Kirin: Tickengo founders shared blog post w/us that says they will be 'pleased to talk to the CPUC and to anyone who wishes to understand what we do' - Link


Posted: Monday, October 08, 2012 11:46 AM