Uber Says Atlantic City's Crackdown Could Drive Them Out Of NJ

ATLANTIC CITY, N.J. (CBS) -- If you book an Uber ride in Atlantic City don't expect to see the signature "U" sticker on the window as drivers try to operate incognito.

With no regulation to govern Uber, the city's code enforcement office is ticketing drivers for operating without commercial licenses or vehicles.

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"They're being summonsed for being an unlicensed driver in an unlicensed vehicle and each offense is a $250 fine and they go to court and the judge has been fining them pretty good," says Dale Finch the city's director of licensing and inspections.

Finch says the city has issued more than 400 fines this year and will continue to do so until the state takes action to regulate ride sharing apps like Uber.

Uber spokesperson Craig Ewer said in a statement, "This is exactly why New Jersey needs statewide ridesharing regulations, otherwise Uber will be driven out of the state by antiquated laws like Atlantic City's."

Taxi drivers pay $160 annual mercantile fee and some spend as much as $1,500 a month to lease portions of the city's 250 taxi medallions.