CCPA Issues Notice to Ola and Uber

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CCPA Issues Notice to Ola and Uber
21 May 2022
4 min read

News Synopsis

The CCPA announced on May 20 that it has notified taxi aggregators Ola and Uber of unfair trading practices and infringement of consumer rights. The Central Consumer Protection Authority (CCPA) has given these two companies a 15-day grace period to respond to notifications.

The CCPA has issued notice to both the companies for the violation of the consumer rights and concerning unfair trade practices with its customers. The authority noted that there have been significant complaints from consumers across the country on multiple issues affecting rides booked through both ride-hailing platforms.

From April 1, 2021, to May 1, 2022, 2,482 consumer complaints against Ola and 770 complaints against Uber were registered, according to data from the National Consumer Helpline (NCH). 

The government also conducted a meeting with ride-Hailing platforms amid growing consumer complaints about their unfair trading practices, including a ride cancellation policy that forces customers to cancel their ride after the driver accepts the reservation, after which customers have to pay the cancellation penalties. On Friday, the CCPA stated that the major issues raised in the notice included "deficiencies in service."

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