Cabbies file RM100mil lawsuit against Grabcar

Cabbies file RM100mil lawsuit against Grabcar

Taximen's association claims denial of livelihood and wants various types of damages under the Contracts Act 1950.

Taxi drivers, who have long been protesting against what they consider ‘unfair competition’ from Grab drivers, are now suing Grabcar. (Bernama pic)
KUALA LUMPUR:
Grabcar is being sued for RM100 million by the Malaysian Association of Taxi, Rental Car, Limousine and Airport Taxi, allegedly for denying its 10,000 members their livelihood and creating an unfair competition.

The suit by 15 office bearers of the association was filed through Messrs R Kengadharan & Co at the High Court here on Dec 4.

They said the defendant, Grabcar Sdn Bhd’s activities of operating an e-hailing service without valid licence in the country between 2014 and 2017 amounted to “stealing their business.”

In the statement of claim made available to FMT, the plaintiffs said Grabcar’s activities were in violation of the Federal Constitution , the Competition Act 2010 and the amended 2012 Road Transport Act.

The plaintiffs said the defendant breached provisions of the Transport Act by presenting a misleading statement that Grabcar was qualified to operate an online public transport service without approval from the Road Transport Department.

The plaintiffs further said the e-hailing service was not given any exemption under the Competition Act to carry out the service between May 16, 2014 and July 27, 2017.

“The defendant’s action was in violation of the right to livelihood, rights and interests of taxi drivers,” they said.

The plaintiffs are asking for liquidated damages, general, aggravated, exemplary and punitive damages amounting to RM100 million under Section 75 of the Contracts Act 1950.

Kengadharan, who appeared for the plaintiffs during a case management today before High Court deputy Registrar Nurliana Ismail, said the defendant has been ordered to file their defence by Jan 14.

Lawyer Kwong Chiew Ee, from Messrs Rahmat Lim & Partners, appeared for Grabcar.

Kengadahran said Nurliana also directed the plaintiffs to file any reply to the statement of defence by Jan 28. She fixed the next case management for Feb 11.

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