MONTREAL – Quebec Superior Court has awarded $143 million plus interest to taxi drivers in a landmark class-action lawsuit, ruling that the province’s deregulation of the taxi industry and the introduction of ride-hailing services like Uber amounted to “disguised expropriation.”
The decision follows the 2019 enactment of Bill 17, which abolished the traditional taxi permit system and incorporated app-based ride-hailing services into provincial regulations. This legislative change led to significant financial losses for taxi drivers, who had invested heavily in purchasing taxi permits.
Despite the Quebec government’s $800 million compensation package to taxi drivers, many felt it was insufficient. The lead plaintiff, Dama Métellus, initially sought over $1.1 billion in compensation, arguing that it should reflect the market value of taxi permits in 2014. However, Justice Silvana Conte based the awarded compensation on their value in 2016, the year Quebec initiated a pilot project for Uber.
While the awarded amount was lower than requested, Métellus expressed satisfaction with the ruling, calling it a “matter of justice.”
The lawsuit also sought $1,000 in punitive damages per class member, which the judge denied. This decision marks a significant moment for taxi drivers in their ongoing struggle against the rapid integration of ride-hailing services in Quebec.
