NYC sues ride hailing app Empower for operating without licenses, 'putting public at risk'

Business News

NYC sues ride hailing app Empower for operating without licenses, 'putting public at risk'
MetroLawsuitNew York City
  • 📰 nypost
  • ⏱ Reading Time:
  • 154 sec. here
  • 9 min. at publisher
  • 📊 Quality Score:
  • News: 82%
  • Publisher: 67%

Today's Business Headlines: 03/27/26

As of this month, Empower has illegally dispatched more than 100,000 rides in New York City as its low ride fares – advertised as 20% cheaper than comparable rides on– win over city residents frustrated by a high cost of living, according to the lawsuit filed Friday in state court.

But the upstart company has failed to apply for relevant licenses since it launched New York operations in 2022, according to the suit — which is seeking to permanently ban the service and its founder, Joshua Sear, from operating in the city.“New York City will not tolerate companies that flout the law while putting drivers, passengers, and the public at risk,” New York City Corporation Counsel Steve Banks told The Post in a statement. “As detailed in our complaint, Empower has been conducting business in clear violation of New York’s licensing laws and other regulations, and we are seeking relief to halt these unlawful practices.”Air Canada CEO stepping down after fatal LaGuardia plane crash — for issuing his apology in English Terminally ill worker with brain cancer among 1,000 laid off by Epic Games — leaving him without health insurance The app’s monthly active users in the New York City area jumped 155%, to 92,000 from May 2025 to January of this year, according to market intelligence firm Sensor Tower. The jump came as New Yorkers have sought out cheaper ride hailing services as Lyft and Uber prices went up.Rather than paying out commissions for each trip, Empower employs drivers via subscription plans – and it also has been saving on surcharges and fees charged by New York’s Taxi and Limousine Commission by skipping out on required licenses, according to the suit. “Every driver using Empower’s software to work for themselves in New York is a TLC licensed driver using a TLC licensed vehicle,” Roshn Marwah, Empower’s chief of staff, told The Post in a statement. “Empower has repeatedly offered to facilitate the assessment and payment of any taxes or fees owed by drivers who choose to work for themselves, but was repeatedly told by officials in the prior administration that the City would not accept payment of these taxes and fees from drivers.” The TLC, however, has warned that the service leaves riders vulnerable to substantial dangers, including insurance issues if they are involved in a crash; no accountability for lost property or issues during the ride; and no guarantees that vehicles and drivers are licensed and up to inspection.Drivers for Empower also risk not receiving workers’ compensation if they are injured on the job; facing fines up to $10,000; and ultimately losing their TLC license or vehicle insurance, according to the TLC. “This action against Empower sends a clear message: if you operate in this city, you must play by TLC rules,” TLC Press Secretary Jason Kersten told The Post in a statement. “NYC’s streets are not a testing ground for companies that refuse oversight.”Radical fraud busting campaign to see tipsters rewarded with huge bountiesTaylor Frankie Paul and rumored ‘Bachelorette’ winner Doug Mason turn heads with social media exchangeHe killed her, then disappeared: The $250K reward for a decade-old murder | Forgotten FugitivesStream It Or Skip It: 'Jo Nesbø's Detective Hole' On Netflix, Where A Troubled Detective Tracks Down A Serial Killer Who Is Terrorizing Oslo

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

nypost /  🏆 91. in US

Metro Lawsuit New York City Ride Sharing Taxi And Limousine Commission

 

United States Latest News, United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Serafina eatery to take over former Rosie O'Grady home in MidtownSerafina eatery to take over former Rosie O'Grady home in MidtownToday's Business Headlines: 03/27/26
Read more »

Labubu maker Pop Mart signs lease for Fifth Avenue locationLabubu maker Pop Mart signs lease for Fifth Avenue locationToday's Business Headlines: 03/27/26
Read more »

YouTube staffers deliberately aimed for 'viewer addiction,' killed safety tools for kids: court docsYouTube staffers deliberately aimed for 'viewer addiction,' killed safety tools for kids: court docsToday's Business Headlines: 03/27/26
Read more »

NYC Alliance signs 11-year lease at 1441 Broadway in MidtownNYC Alliance signs 11-year lease at 1441 Broadway in MidtownToday's Business Headlines: 03/27/26
Read more »

Air Canada CEO steps down amid backlash over apology video after fatal LaGuardia plane crash — because it wasn't in FrenchAir Canada CEO steps down amid backlash over apology video after fatal LaGuardia plane crash — because it wasn't in FrenchToday's Business Headlines: 03/27/26
Read more »

Epic Games layoffs leave worker with terminal brain cancer without insuranceEpic Games layoffs leave worker with terminal brain cancer without insuranceToday's Business Headlines: 03/27/26
Read more »



Render Time: 2026-03-31 23:47:06