The Tel Aviv district court judge's injunction ordering the services to stop from Wednesday came after a court challenge from a taxi drivers' union and a separate ride- hailing app. The Uber defense was apparently insufficient to convince the court that the new company adapted its system to conform with Israeli law and administrative regulations.
Uber had argued that its app, which began as a night-time service and expanded to day-time operation this month, should be categorised differently as passengers' payment was created to cover car-maintenance expenses and not to profit the drivers.
Uber said it would halt its ride-sharing services in Israel - known as UberNIGHT and UberDAY - but its service allowing traditional taxi-booking through its app would remain. The company had been sued by Israeli cab drivers as well as Gett, a taxi service that previously was called GetTaxi.
The court specifically banned UberDay and UberNight, the company's private-car services in Tel Aviv.
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The Tel Aviv District Court issued a permanent injunction yesterday morning (Monday) prohibiting Uber from operating in Israel.
Uber launched its pilot ride-sharing program in Israel previous year, but has faced opposition from the Transportation Ministry, which filed suit against the company in May for violating regulations.
"We are committed to working with the Israeli authorities to explore how technology can improve our cities with safe and affordable transportation alternatives".
Another case is pending against Uber in Israel.
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