Cabbies file RM100m lawsuit against Grabcar
Malaysian taxi drivers have mounted an RM100 million class-action lawsuit against Grabcar for allegedly running an illegal e-hailing service in the country from 2014 to 2017.
The Malaysian Association of Taxi, Rental Car, Limousine and Airport Taxi filed the writ of summons at the Kuala Lumpur High Court on Dec 4 last year.
The legal action listed the plaintiffs as 15 taxi drivers representing the association, and Grabcar Sdn Bhd is named as the sole defendant in the suit.
According to a copy of the statement of claim...
Malaysian taxi drivers have mounted an RM100 million class-action lawsuit against Grabcar for allegedly running an illegal e-hailing service in the country from 2014 to 2017.
The Malaysian Association of Taxi, Rental Car, Limousine and Airport Taxi filed the writ of summons at the Kuala Lumpur High Court on Dec 4 last year.
The legal action listed the plaintiffs as 15 taxi drivers representing the association, and Grabcar Sdn Bhd is named as the sole defendant in the suit.
According to a copy of the statement of claim sighted by Malaysiakini, the plaintiffs claimed that Grabcar’s e-hailing service, from May 16, 2014 to July 27, 2017, contravened the Transport Act 2012, the Competition Act 2010, and the Federal Constitution.
The cabbies alleged that Grabcar violated the provisions of the Transport Act, among others, by “giving a false statement that the defendant (Grabcar) is qualified to carry out an online public transport service despite not being given leave and permission at that time by the Road Transport Department (and) government of Malaysia”.
They claimed that the e-hailing service was not given any exemption under the Competition Act to carry out the service during that period.
“The defendant had misused its position in the service industry under Section 10 of the Competition Act 2010. The defendant had carried out unfair trade (perdagangan tidak adil).
“The defendant had jeopardised the bread and butter, earnings, rights and interests of taxi drivers.
“The defendant’s action jeopardised competition and behaved akin to 'predator on a competitor' (pemangsa terhadap pesaing),” the plaintiffs claimed.
The cabbies also claimed that Grabcar had been operating without a licence from May 16, 2014 to July 27, 2017, due to alleged violation of the Contracts Act 1950.
They alleged, as a result, every profit the e-hailing service received for that period ought to be returned to the cabbies as "remedy of restitution to the plaintiffs".
Through the lawsuit, the cabbies seek, among others, RM100 million in liquidated damages, as well as general, aggravated, exemplary and punitive damages.
They are seeking a declaration that Grabcar’s e-hailing service was in contravention of the provisions of the Transport Act, the Competition Act, and the Federal Constitution.
They also seek cost and any other relief deemed fit by the court.
According to a memorandum of appearance filed on Dec 21 last year, Grabcar is represented by legal firm Messrs Rahmat Lim & Partners.
The plaintiffs are represented by law firm Messrs R Kengadharan & Co.
When contacted by Malaysiakini today, Kengadharan said the Kuala Lumpur High Court has directed Grabcar to file its statement of defence by Jan 14.
The lawyer said this was the directive issued following e-review (online) case management of the suit by the court registry today.
He said the court also directed the cabbies to file any reply to the statement of defence by Jan 28.
The next case management of the matter is on Feb 11.
Counsel Kwong Chiew Ee acted for Grabcar in today’s case management.
Are you sure you want to delete this comment?
This action cannot be undone.