Taxi licensing—A contract for hire of a Private Hire Vehicle (PHV) is not a contract when it’s a booking! (DELTA Merseyside Ltd & Veezu Holdings Ltd v Uber Britannia Ltd)
Local Government analysis: In the myriad of litigation involving the ride-hailing app Uber, what started out as a case about worker statu, resulted in litigation about the legislative interpretation[1] of licensing Acts[2] in relation to contractual relationships. This resulted in potential VAT implications for the private hire industry and travelling public alike, triggering a VAT consultation by HMRC[3]. Expressing no view as to whether the Divisional Court was right or wrong in Uber v TFL[4] on the same point in relation to the Private Hire Vehicles (London) Act 1998, the Court of Appeal allowed the appeals by DELTA and Veezu. Thus discharging the declaration made by Mr Justice Foster in the High Court that required operators to contract as principal with passengers for the provision of a booked journey under the provisions of the Local Government (Miscellaneous Provisions) Act 1976 (LG(MP)A 1976). Written by David Wilson, licensing consultant at A2Z Licensing.