Ontario taxi, limo drivers file $410M lawsuit against Uber

A lawsuit has been filed in Ontario, seeking $410 million from the ride-sharing service Uber

The plaintiff, Toronto taxicab owner and operator Dominik Konjevic, is seeking $400 million in compensatory damages and $10 million in punitive damages against UberX and UberXL for allegedly creating "an enormous marketplace for illegal transportation in Toronto." It also calls for Uber to stop all operations in Ontario.

The lawsuit was filed in the Ontario Superior Court of Justice on Thursday, claiming that UberX conspired with its drivers to set up situations wherein a driver would transport a customer for a fee, without a license to do so under the Highway Traffic Act. It also alleges that Uber has knowingly created and controlled a business that it knew would inflict financial harm.

"This protection suit is without merit," a spokesperson from Uber said in a statement. "As we saw from a recent court ruling in Ontario, Uber is operating legally and is a business model distinct from traditional taxi services."

The lawsuit comes on the same day Uber announced expansion into London, Hamilton, Waterloo and Guelph, Ont.

Uber has now introduced its services in more than 25 Canadian communities, including Toronto, Montreal, Edmonton, and Ottawa.

Some city governments have tried to block Uber from setting up shop, while others have welcomed it.

However, taxi companies have universally opposed the ridesharing service, which claims to charge about 25 per cent less than the typical taxi cab.