Legal Battle Over Transportation Network Companies Shifts to Chicago

Chicago political leaders are floating a pair of competing bills that would regulate transportation network companies like Uber, Lyft, and Sidecar. Cab companies are pushing for legislation, seeking a “level playing field” in the market.

2 minute read

March 27, 2014, 10:00 AM PDT

By James Brasuell @CasualBrasuell


Greg Hinz reports on the regulatory possibilities presented by two bills—the first under consideration in Springfield by the Illinois General Assembly, the second currently in committee in the Chicago City Council.

Cab companies support “a bill in Springfield that was officially unveiled today by Rep. Mike Zalewski and Sen. Marty Sandoval, both Chicago Democrats, that would require all shared-ride operators to carry tons of insurance, drive vehicles no older than four years no longer than 10 hours a day, obtain chauffeurs' licenses and be prepared to serve all neighborhoods, sometimes with wheelchair-accessible vehicles.”

“Uber is backing a more modest proposal offered by Mayor Rahm Emanuel…While it would require insurance and background checks, it would allow drivers to use their regular licenses and cars — providing they aren't "salvage, rebuilt, junk or total loss" cars — permit digital dispatching of cars and direct all wheelchair-related calls to a central city dispatch system.”

Hinz sums up the hard-to-answer questions at the heart of the ongoing regulatory debate: “Similar disputes have arisen in other cities, but the core questions remain the same: Are tough regulations needed to protect the public, and must the rules be the same for all providers? Or is it best just to open the doors and let the market work it out, sort of like how consumers have a choice between full-service airlines and cheaper upstarts?”

Seattle, for one, recently took the most drastic steps thus far to limit the business of transportation network companies, by capping the amount of cars in operation at any given time for each of the companies.

Tuesday, March 25, 2014 in Crain's Chicago Business

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 2, 2025 - Diana Ionescu

Aerial view of town of Wailuku in Maui, Hawaii with mountains in background against cloudy sunset sky.

Maui's Vacation Rental Debate Turns Ugly

Verbal attacks, misinformation campaigns and fistfights plague a high-stakes debate to convert thousands of vacation rentals into long-term housing.

July 1, 2025 - Honolulu Civil Beat

Person wearing mask walking through temporary outdoor dining setup lined with bistro lights at dusk in New York City.

Restaurant Patios Were a Pandemic Win — Why Were They so Hard to Keep?

Social distancing requirements and changes in travel patterns prompted cities to pilot new uses for street and sidewalk space. Then it got complicated.

June 19, 2025 - Diana Ionescu

Aerial view of new neifhborhood under construction with enpty lots in foreground.

In California Battle of Housing vs. Environment, Housing Just Won

A new state law significantly limits the power of CEQA, an environmental review law that served as a powerful tool for blocking new development.

July 2 - CALmatters

Low-rise Pearl Sreet mall in Boulfer, Colorado.

Boulder Eliminates Parking Minimums Citywide

Officials estimate the cost of building a single underground parking space at up to $100,000.

July 2 - Boulder Reporting Lab

Two-story buildings with porches in walkable Florida neighborhood.

Orange County, Florida Adopts Largest US “Sprawl Repair” Code

The ‘Orange Code’ seeks to rectify decades of sprawl-inducing, car-oriented development.

July 2 - CNU Public Square