Taxi Hailing Companies Sued Over Data Protection

Digital taxi operators in Kenya are seeking the revocation of the licenses of 14 ride-hailing companies operating on several allegations of flouting regulations including not complying with data protection rules.

The operators, through their Ridehail Transport Association, sued the 14 ride-hailing companies and the National Transport Safety Authority (NTSA) at the Transport Licensing Appeals Board Tribunal accusing some of them of not duly registered as data handlers and data processors by the Data Commissioner.

The Ridehail Transport Association places the responsibility on the NTSA for granting licenses to these companies, despite their alleged non-compliance with regulations. Furthermore, concerns have been raised by drivers and vehicle owners regarding the practices of Uber, Bolt, and PTG Travels. The association accuses the three companies of deducting more than the permitted 18 per cent from drivers’ revenues, thereby violating the regulations that stipulate the maximum commission rate.

“We have reasons to believe that Uber BV and Bolt operations OU are neither tax compliant, duly registered as data handlers and data processors by the Data Commissioner nor do they have a registered office in Kenya as per the NTSA regulations, “states an affidavit sworn by the association’s acting Secretary General Zakaria Johana.

They claim that transport network companies of unfair business practices by pushing operating costs and tax obligations to drivers and vehicle owners.

The association wants the licenses of transport network companies that are not following the rules revoked. Other companies sued alongside Uber and Bolt are Little, Farasi Cabs, PTG, Yego, Maramoja Transport, Farasi Cabs, Havanet, HCab, TMNK Enterprises, Amicabre Travel Services, J-Ride, Nisa Taxi and Move On Telecoms.