Virginia governor Terry McAuliffe and his administration are backtracking on the “cease and desist” order they imposed on Uber and Lyft, digital car-sharing and tax services, just a month after issuing the order.
The Consumer Electronics Association, which opposed the ban, first announced that Virginia had reversed on the ride-share apps, even before the official release, according to InTheCapital. The organization thanked McAuliffe for changing course on the issue on the issue, which has seen established car services and taxi unions argue for regulation of companies like Uber and Lyft.
“We are encouraged by reports that the Virginia Department of Motor Vehicles (DMV) is taking steps to allow innovative transportation network providers Uber and Lyft to operate in the Commonwealth,” said CEA head Gary Shapiro. “As we noted from the moment the DMV issued a ‘cease-and-desist’ order to these companies, denying them the ability to operate in Virginia is anti-consumer, anti-jobs and directly at odds with Virginia’s reputation as a pro-business state.”
Shapiro added that he hopes the state legislature will come up with a solution to allow these ride-share services to continue operating in the future.