Lyft NYC Launch of 500 Drivers Delayed by Restraining Orders

Jul 11, 2014 05:07 PM EDT | Jordan Ecarma

Lyft had been planning to launch 500 drivers in Queens and Brooklyn today in a move not officially sanctioned by the New York City Taxi and Limousine Commission; however, the expansion has been delayed due to two restraining orders, according to Jalopnik

Formerly scheduled to hit the streets at 7 p.m. today, the cars with large, pink mustaches could have been slammed with fines from the commission, PCMag.com reported. Drivers who have signed up to work for Lyft risk losing their vehicles as well as being subject to fines of $2,000.

The restraining orders came from the TLC and the New York Attorney General. 

Lyft contends that its ride service doesn't count among "for-hire" vehicles since riders aren't charged a set fee; rather, Lyft asks them to give a "suggested donation" after the trip.

"The New York City Taxi and Limousine Commission (TLC) reminds its licensees and the public that Lyft's 'ride share' service is unauthorized in New York City," the TLC said in a statement.

"Lyft has not complied with TLC's safety requirements and other licensing criteria to verify the integrity and qualifications of the drivers or vehicles used in their service, and Lyft does not hold a license to dispatch cars to pick up passengers. In keeping with the TLC's priority of protecting public safety and consumer rights, the agency will be conducting enforcement operations to ensure compliance with the City's rules and laws."

Even drivers who are already licensed with the TLC will not be exempt from the fines, the commission said.

As Lyft and other car-sharing services spread to various cities, the companies have faced trouble from cab drivers and local officials alike. Along with Uber, Lyft was recently told to "cease and desist" operations in Virginia. Uber has additionally been subject to the wrath of London cab drivers who fear the ride-sharing service will become a monopoly and who recently blocked the streets in protest.

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