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Tech & Startup

Uber fined $14 million for misleading on fares and cancellation fees

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Wed Dec 7, 2022 11:29 PM Last update on: Wed Dec 7, 2022 11:35 PM
Uber fined $14 million for misleading on fares and cancellation fees

Ride-sharing platform Uber has been fined US $14 million recently for threatening cancellation fees it never charged and overstating fare estimates on some rides in Australia, according to Reuters.

An Australian court fined the ride-sharing platform as it broke consumer law in the country by misleading customers with warnings that they would be penalised for cancelling rides from 2017 to 2021 and by using an inaccurate software algorithm to predict fares for a taxi service it offered until August 2020, the Federal Court ruled.

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Uber said in a post on its website that it apologised to Australians "for the mistakes we made, and we have since proactively made changes to our platform based on the concerns raised with us".

The Australian Competition and Consumer Commission (ACCC) brought the case against Uber, forcing the ride-sharing platform to come to terms with the penalty imposed.

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