Uber and Lyft beat Miami Taxis in federal court

Uber and Lyft have received a boost this week after the 11th U.S. Circuit Court of Appeals ruled in their favour against taxi proprietors in Miami-Dade County.

The court unanimously ruled that taxi owners and operators have no right to block ride hailing firms from operating in the region.

There are around 2100 taxi medallion owners in the Miami-dade area which service 2.7 million people, at one point these medallions were worth in excess of $400,000, they are now worth around $35,000 since the legalisation of ride hailing apps.

Since Ubers arrival the ride sharing market exceeds the taxi market by around five to one, and according to The Miami Herald the drink-drive figures in the area have plummeted by 65%.

Ride-hailing apps in Miami-Dade were legalised in 2016, which has caused a massive drop in the value of taxi medallions. This prompted the three main cab companies in the region to initiate a legal action against the county's regulatory body asking for the industry to be bailed out, this action subsequently failed.

The case itself revolved around the fifth ammendment, with the taxi industry arguing that deregulation was unconstitutional and asking for a compensation package of around $1 billion.

Forbes reported that Judge Stanley Marcus, threw out the claim on the grounds that the medallion gave the owners the right to operate a taxi, but not to exclude competition from the marketplace.

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