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Uber Fights $50M Fine Recommended By Pa. Judges

By Ian Bush

PHILADELPHIA (CBS) – Uber could be on the hook for a $50 million fine, if a ruling in Pennsylvania stands.

Ride-hailing services are fighting legal battles on both sides of the commonwealth.

The eight-figure penalty is by far the largest ever recommended by administrative law judges on the Pennsylvania Public Utility Commission.

"For launching service and operating without authority in Allegheny County without a certificate of public convenience by the commission."

PUC spokeswoman Robin Tilley says the fine isn't final; Uber can file an appeal and even the commission itself can vote to modify or reject the recommendation. For its part, Uber says it's 'extremely disappointed' and will continue to try to reach a settlement with the PUC. That's what its rival Lyft did earlier this year, to the tune of a quarter-million dollars.

Both services now are operating under a two-year experimental license in Pennsylvania, except in Philadelphia -- here, the Parking Authority has approved the traditional black-car Uber but says the ride-sharing UberX and Lyft are illegal even as the non-commercial drivers for both continue to pick up passengers. The PPA says its complaint against UberX is working its way through administrative courts, seeking $300,000 and another thousand dollars a day in fines.

 

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