Gebresalassie v. District of Columbia

170 F. Supp. 3d 52, 2016 U.S. Dist. LEXIS 35093, 2016 WL 1089219
CourtDistrict Court, District of Columbia
DecidedMarch 18, 2016
DocketCivil Action No. 2015-0762
StatusPublished
Cited by8 cases

This text of 170 F. Supp. 3d 52 (Gebresalassie v. District of Columbia) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gebresalassie v. District of Columbia, 170 F. Supp. 3d 52, 2016 U.S. Dist. LEXIS 35093, 2016 WL 1089219 (D.D.C. 2016).

Opinion

MEMORANDUM OPINION

COLLEEN KOLLAR-KOTELLY, United States District Judge

Plaintiffs, six individual taxicab drivers and the Washington D.C. Metro Taxi Operators Association, bring suit against the District of Columbia on behalf of themselves and on behalf of a putative class of District of Columbia taxicab drivers, claiming that the District’s Vehicle-for-Hire Innovation Amendment Act of 2014 is unconstitutional. Specifically, they claim that the statutory scheme creates a two-tiered system for regulating taxicabs and digitally dispatched transportation services, such as Uber and Lyft, and that the two-tiered system result in an Equal Protection violation and a Substantive Due Process violation. Plaintiffs also claim that, as a result of these alleged constitutional violations, the District of Columbia exceeded its authority under the District of Columbia Home Rule Act. Before the Court is Defendant’s [9] Motion to Dismiss. Defendant argues that the Complaint fails to state an Equal Protection claim or a Substantive Due Process claim under the Constitution and that it fails to state a claim under the District of Columbia Home Rule Act. Upon consideration of the pleadings, 1 the rele *56 vant legal authorities, and the record for purposes of this motion, the Court GRANTS Defendant’s [9] Motion to Dismiss. This case is dismissed in its entirety.

I. BACKGROUND

For the purposes of the motion before the Court, the Court accepts as true the well-pleaded allegations in Plaintiffs’ Complaint. The Court does “not accept as true, however, the plaintiffs legal conclusions or inferences that are unsupported by the facts alleged.” Ralls Corp. v. Comm. on Foreign Inv. in U.S., 758 F.3d 296, 315 (D.C.Cir 2014). The Court reserves further additional presentation of the background, as necessary, for the discussion of the legal issues below.

On November 18, 2014, then-Mayor of the District of Columbia Vincent C. Gray signed the Vehiele-for-Hire Innovation Amendment Act of 2014, which had previously been passed by the District of Columbia Council. See Vehicle-For-Hire Innovation Amendment Act of 2014, 2014 District of Columbia Laws 20-197 (Act 20-489). The Act went into effect on March 10, 2015, after Congress took no action on it. In the Act itself, its purpose was described as follows:

AN ACT to amend the District of Columbia Taxicab Commission Establishment Act of 1985 to define a private vehicle-for-hire company and operator, to clarify the authority of vehicle inspection officers to make stops, to clarify the complaint authority of the District of Columbia Taxicab Commission, to create registration provisions for operators, to require background checks for operators, to prohibit street hails by operators, to require a private vehicle-for-hire company to conduct background checks, inspect vehicles, establish zero tolerance policies against discrimination and drug and alcohol use by operators, to require transmission of 1% of all gross receipts to the Office of the Chief Financial Officer, to require insurance for operators, to create provisions for charging for services, to provide for enforcement against private vehicles-for-hire, to deregulate fares for taxicabs arranged through digital dispatch, to clarify data and surcharge transmission requirements, and to require that a notice be posted in all taxicabs regarding acceptance of credit cards; to amend section 47-2829 of the District of Columbia Official Codé to exempt private vehicles-for-hire from the license requirement and to clarify eligibility for a for-hire license; and to .amend Title 18 of the District of Columbia Municipal Regulations to reduce the inspection requirement for taxicabs from semiannually to annually.

2014 District of Columbia Laws 20-197 (Act 20-489). There is no dispute that the Act had the effect of both legalizing and regulating transportation services organized through “digital dispatch,” that is through an “app” on a mobile device, such as a “smartphone,” and provided by companies such as Uber and Lyft. There is also no dispute that the regulatory requirements applicable to digitally-dispatched “private vehicles for hire,” as termed by the statutory scheme, differ in at least some respects from those applicable to taxicabs. The Court proceeds now to explain the statutory scheme, with particular emphasis on the distinctions that serve as the bases for Plaintiffs’ claims. Before doing so, the Court notes that, even though the Court must take Plaintiffs’ factual allegations as true, where Plaintiffs’ *57 allegations regarding the content of the statutory scheme themselves deviate from the scheme itself, the Court relies — as it must — on the statute and regulations themselves rather than on the allegations in the Complaint.

The Vehicles-for-Hire Act amends the District’s statutory governing scheme for taxicabs and other related transportation services and creates two categories of transportation service providers: private vehicles-for-hire and public vehicles-for-hire. A private vehicle-for-hire is defined as “a class of transportation service by which a network of private vehicle-for-hire operators in the District provides transportation to passengers to whom the private vehicle-for-hire operators are connected by digital dispatch.” D.C. Code § 50-301.03 (16A) (2016). 2 A public vehicle-for-hire is defined as “a class of transportation service by motor vehicle for hire in the District, including a taxicab, limousine, or sedan-class vehicle, that provides for-hire service exclusively using drivers and vehicles licensed pursuant to this subchapter and § 47-2829.” Id. § 50-301.03(17). The statute further defines the three types of vehicles that make up the class of public vehicles for hire:

(14) “Limousine” means a public vehicle-for-hire that operates exclusively through advanced registration, charges exclusively on the basis of time, and shall not accept street hails.
(20) “Sedan-class vehicle” means a public vehicle-for-hire that operates exclusively through digital dispatch, charges on the basis of time and distance, except for trips to airports, and other point-to-point trips based on well- traveled routes or event-related trips such as sporting events, which may be charged on a flat-fee basis, and shall not accept street hails.
(21) “Taxicab” means a class of public vehicle-for-hire that may be hired by dispatch, digital dispatch, or hailed on the street, and for which the fare charged is calculated by a Commission-approved meter with uniform rates determined by the Commission; provided, that a taxicab hired by a passenger through digital dispatch may use rates set by the company that operates the digital dispatch pursuant to the requirements of this subchapter.

Id. § 50-301.03(14), (20), (21). Because Plaintiffs’ claims are based on the distinctions between private vehicles-for-hire— or, as Plaintiffs call them, “De Facto

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Cite This Page — Counsel Stack

Bluebook (online)
170 F. Supp. 3d 52, 2016 U.S. Dist. LEXIS 35093, 2016 WL 1089219, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gebresalassie-v-district-of-columbia-dcd-2016.