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 16, 2025 - Diana Ionescu

Green vintage Chicago streetcar from the 1940s parked at the Illinois Railroad Museum in 1988.

Chicago’s Ghost Rails

Just beneath the surface of the modern city lie the remnants of its expansive early 20th-century streetcar system.

July 13, 2025 - WTTV

Blue and silver Amtrak train with vibrant green and yellow foliage in background.

Amtrak Cutting Jobs, Funding to High-Speed Rail

The agency plans to cut 10 percent of its workforce and has confirmed it will not fund new high-speed rail projects.

July 14, 2025 - Smart Cities Dive

Worker in yellow safety vest and hard hat looks up at servers in data center.

Ohio Forces Data Centers to Prepay for Power

Utilities are calling on states to hold data center operators responsible for new energy demands to prevent leaving consumers on the hook for their bills.

July 18 - Inside Climate News

Former MARTA CEO Collie Greenwood standing in front of MARTA HQ with blurred MARTA sign visible in background.

MARTA CEO Steps Down Amid Citizenship Concerns

MARTA’s board announced Thursday that its chief, who is from Canada, is resigning due to questions about his immigration status.

July 18 - WABE

Rendering of proposed protected bikeway in Santa Clara, California.

Silicon Valley ‘Bike Superhighway’ Awarded $14M State Grant

A Caltrans grant brings the 10-mile Central Bikeway project connecting Santa Clara and East San Jose closer to fruition.

July 17 - San José Spotlight