Hundreds of Uber drivers in South Jersey are suing the Atlantic City Yellow Cab Co., alleging taxi drivers have been fraudulently posing as drivers working for the rideshare service to steal their customers.
United Drivers South Jersey -- a rideshare drivers group that serves South Jersey, Atlantic City and Philadelphia areas -- filed a class-action lawsuit Tuesday in Atlantic County Superior Court on behalf of 240 Uber drivers, according to a statement issued by the group.
The Uber drivers allege that taxicab drivers in Atlantic City have been depriving "authorized Uber drivers of customers and fares that they otherwise would have received," said United Drivers South Jersey on its Facebook page.
The owner of Atlantic City Yellow Cab Co., Murray Rosenberg, called the lawsuit "outrageous," and flat out denied the allegations.
"There's no validity whatsoever," he said.
n a post last month, the United Drivers group said customers' trust was being broken by "lying, greedy cabdrivers trying to scam them and the whole Uber system in general."
The group has also posted videos that it claims shows taxicab drivers posing as Uber drivers and stealing their customers.
The lawsuit, according to United Drivers South Jersey, includes claims under the New Jersey's Racketeer Influenced and Corrupt Organizations Act, or RICO, which is a state law to combat racketeering in commerce.
The group also alleges that taxicab drivers are "putting riders at risk" because posing as Uber drivers invalidates their insurance.
Earlier this year, Gov. Christie signed a law to license and regulate ridesharing companies after years of that industry's own controversy and regulatory battles with the state.
"It is the hope of United Drivers that the taxicab companies will take immediate steps to stop this dangerous practice," United Drivers South Jersey said on its Facebook page.