App-linked firms now liable for accidents
Print Edition
IN a landmark ruling that will likely influence future cases involving companies linked with apps, a court said yesterday that app-based services will also be held accountable for accidents and damages.
Upholding an elderly man’s appeal against a Beijing-based company whose application provided driver services, the Pudong New Area People’s Court said the company which provided the service must be held responsible for traffic accidents caused by their drivers.
It was China’s first traffic accident dispute involving an app company.
On March 9, 2013, a car owner, surnamed Pan, placed an order seeking a driver on the app, E-Daijia, after consuming alcohol at a restaurant in the Pudong New Area. The driver, surnamed Zhao, crashed into a male cyclist Tao, who was in hospital for 16 days for treatment on his knee and ankle. E-Daijia had paid 36,000 yuan to Tao as medical expenses.
A year later, Tao demanded compensation from the car owner Pan, who refused saying that E-Daijia should be held responsible as he had taken the service from the company. However, E-Daijia insisted that it was only an intermediary and the real transaction was between the driver and the customer. The drivers were not “employees” of E-Daijia and passed the blame of the accident on to driver Zhao.
A frustrated Tao dragged Zhao, Pan and the car insurance company to court in a suit filed at the Pudong court in October last year. The court then listed E-Daijia as a defendant. It said the driver should be considered as an “employee” of E-Daijia because the contract was between Pan and E-Daijia, and Zhao was sent by the company to pick up Pan.
E-Daijia had accepted Zhao as one of its drivers, implying he was managed by the company.
The court directed the insurance company to pay Tao 126,600 yuan (US$20,170) while E-Daijia was asked to pay 3,700 yuan as lawyers’ expenses. Since E-Daijia had paid Tao 36,000 yuan, the court told Tao to return 32,300 yuan.
Fu Dingsheng, a professor at East China University of Political Science and Law, said car owners should only be held accountable if his or her actions caused the accident. If the driver happens to be a relative, the car owner must take the full responsibility.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
