ADJUDICATING THE REGULATORY PENALTIES AGAINST NONPROFESSIONAL TAXI SERVICES IN CHINA AND THE EUROPEAN UNION

This paper provides an overview of judicial decisions on lawsuits against regulatory penalties imposed on nonprofessional taxi drivers and ride-hailing platform operators in China and the European Union (especially Germany). Despite strikingly different facts in these cases, courts in both China and the EU are frequently called upon to rule on similar legal issues, including the applicability of old regulatory rules to new forms of transport services, the regulatory bar for the operation of emerging transport models, and the proper intensity of competition in taxi markets. The comparison of such cases suggests that for deciding the regulatory schemes of the innovative economy of transport services, the judicial system is not better suited than the regulatory system, especially the regulatory authority of the central government. Moreover, an experimental regulatory approach with minimum standards is arguably a feasible option that can fit with the emerging nature of innovative businesses.