An issue that was aggressively lobbied for more than two years in Trenton has finally come to fruition. New Jersey recently became the latest state to regulate Uber, Lyft and other ride-sharing businesses. Governor Chris Christie signed the “Transportation Network Company Safety and Regulatory Act” last month as the state became the 36th to establish statewide regulations for these ride-hailing companies.
“This legislation makes it easier for this innovative business model to conduct business in our state,” Christie said in a statement.
What does the act entail?
According to the law, the legislation mandates that whenever a company brings in a new driver, the business must make sure the driver meets insurance coverage standards and undergoes a driving and criminal background check.
While these ride-sharing companies are allowed to issue their own background checks, if the state attorney general believes the vetting process is insufficient, the driver applicants have to submit to state police checks, which includes fingerprinting.
Drivers who are convicted of sexual assault, homicide, homicide, reckless driving and possession or sale of a controlled dangerous substance or driving under the influence would be banned from working for a ride sharing company.
“This law ensures app-based ride services abide by safety and service standards, protecting riders, motorists and our roadways through commonsense drug, alcohol, inspection and background screenings, and requiring adequate insurance policies,” Christie said.
The transportation network companies will be required to carry $1.5 million of liability coverage and $1.5 million uninsured/underinsured coverage when a passenger is in the vehicle. The company and a clarification that the limitation on lawsuit option may not be declared by a transportation network company or driver in any action for damages arising from a prearranged ride or claim against any party not getting personal injury protection aid in any action for damages stemming from a prearranged role.
Uber released a statement about the law, saying “(The law) allows us to continue operating across the state and will improve the lives of New Jerseyans through access to safe, affordable transportation for riders, and flexible economic opportunities for drivers.”
The law goes into effect on May 1.
Need legal help? Have questions?
As a leading auto accident attorney in Camden County and other surrounding areas in the New Jersey and Philadelphia area, the Law Offices of Vincent J. Ciecka, P.C. has helped those in need of help achieve justice for personal injuries for over 40 years. If you’ve been in an accident involving a ride sharing company, contact us for help defending your rights.
We at the Law Offices of Vincent J. Ciecka, P.C., a leading car accident lawyer in Burlington County, have been protecting accident victims’ rights since 1976. If you are hurt and need help, contact us immediately so we can go to work for you. We help injured people get compensation and medical treatment so they can get back to health and their daily activities without having to deal with the insurance companies.
