Federal Supreme Court Of Brazil Reiterates That Driving Using Uber Is Legal (Brazil)
On the 8th of May, 2019, in the case “Demanda por incumplimiento del principio fundamental 449 Distrito Federal”, (File No. ADPF 449/DF), the unconstitutionality of the Municipal Law of Strength was declared. This was on the grounds that: (i) since Uber and taxi services are fundamentally different, they cannot be analysed under the same regulatory framework; (ii) when the law restricts markets by creating entry barriers to new competitors, it indirectly favours market dominance, eliminates competition and arbitrarily increases profits; (iii) restrictive regulations on individual transportation activity are a way of transferring resources from consumers to taxi licence-holders, violating the constitutional principles of equality and free initiative; (iv) it is the Judiciary Power’s role to invalidate regulatory acts that establish disproportionate restrictions on free initiative and professional freedom.