Lyft, the ridesharing startup that allows people to hail rides from the startup’s small community of background-checked drivers, recently said it doesn’t believe its platform should have to adhere to the licensing rules set and enforced by New York City’s Taxi and Limousine Commission (TLC).
The company has since changed its tune.
Lyft, which was back in court Monday after it agreed to hold off the launch of its ridesharing service in Brooklyn and Queens last Friday, said it has since affiliated itself with eight base stations and agreed to use only TLC-licensed drivers and cars. Lyft says it has provided an affadavit detailing its plans to comply with the TLC.
But another point of contention revolves around Lyft’s screening process. Lyft has previously touted its above-and-beyond process for driver and car screenings, but the city isn’t buying it.
Lyft ackowledged that people who screen the cars don’t have special licensing skills, Corporation Counsel Michelle Kelson said in court. Lyft has also claimed its background process is more stringent than the TLC’s.
“We think that’s not only incorrect, but arrogant,” Kelson said.
Now that Lyft says it’s willing to work with the TLC, the company’s screening process should theoretically meet the commission’s standards. Lyft said it plans to launch immediately after it gains approval from the TLC. The company is now asking for the court to reject the injunctions and temporary restraining orders.
Lyft announced its plan to launch in Brooklyn and Queens last Tuesday. That same day, Lyft got slammed with a cease-and-desist letter from the state Department of Financial Services.
Business Insider will update this story with the final decision once the hearing adjourns.
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