Several Provisions of the Shanghai Municipality on the Administration of Online Car-Hailing Business Services

· Document Number：Order No. 48 of the Shanghai Municipal People’s Government

· Area of Law： Online Taxi Hailing

· Level of Authority： Local Government Rules

· Date issued：12-21-2016

· Effective Date：12-21-2016

· Status： Effective

· Issuing Authority： People's Government of Shanghai Municipality

Order of the Shanghai Municipal People's Government
(No. 48)
The Several Provisions of the Shanghai Municipality on the Administration of Online Car-Hailing Business Services, as adopted at the 131st executive meeting of the municipal government on October 31, 2016, are hereby issued and shall come into force on the date of issuance.
Mayor: Yang Xiong
November 11, 2016
Several Provisions of the Shanghai Municipality on the Administration of Online Car-Hailing Business Services
(Issued by Order No. 48 of the Shanghai Municipal People's Government on November 11, 2016)
Article 1 (Purpose and Basis)
For the purpose of implementing the relevant requirements of the Guiding Opinions of the General Office of the State Council on Deepening Reform and Promoting the Sound Development of the Taxi Industry, regulating the business service acts of online car-hailing in this municipality, and protecting the operation safety and the lawful rights and interests of consumers, these Provisions are developed, in accordance with relevant laws and regulations.
Article 2 (Scope of Application)
These Provisions shall apply to the business services and their relevant management activities of online car-hailing in this municipality (hereinafter referred to as “online car-hailing”).
Article 3 (Development Principles)
Online car-hailing in this municipality shall be developed under the principles of management according to the law, environmental protection, safe business operation, fair competition, and protection of the lawful rights and interests of consumers.
Article 4 (Freight Rate)
Freight rate of online car-hailing in this municipality shall be subject to market-regulated pricing.
Article 5 (Management Department)
The municipal traffic administrative department is the competent administrative department of the online car-hailing in this municipality. The Shanghai Urban Transportation Administrative Department affiliated thereto shall be responsible for the specific management and supervision of online car-hailing.
The Shanghai Municipal Bureau of Public Security, the Shanghai Municipal Human Resources and Social Security Bureau, the Shanghai Municipal Development and Reform Commission, the Shanghai Environmental Protection Bureau, the Shanghai Municipal Office, SAT and the Shanghai Municipal Bureau of Local Taxation, the Shanghai Administration for Industry and Commerce, the Shanghai Municipal Bureau of Quality and Technical Supervision, the Shanghai Municipal Commission of Commerce, the Shanghai Municipal Commission of Economy and Informatization, the Shanghai Financial Service Office, the Shanghai Municipal Internet Information Office, the Shanghai Communications Administration, the Shanghai Bureau of the China Insurance Regulatory Commission, and other departments shall, according to their functions, implement relevant supervision and administration.
Article 6 (Conditions for the Platform of Online Car-Hailing)
To apply for providing online car-hailing business services in this municipality, an applicant shall have both online and offline service capabilities. Besides the provisions of the Interim Measures for the Administration of Online Car-Hailing Business Services (hereinafter referred to as the “Measures”), the following provisions shall also be complied with on the specific conditions:
(1) An enterprise legal person that is not registered in this municipality shall form a branch office in this municipality.
(2) The data on the network service platform shall access to the industry supervision platform of the municipal traffic administrative department.
(3) It has an office premise, a service outlet, and management personnel that are compatible with the number of registered vehicles and the number of drivers in this municipality.
(4) It has purchased insurance for carrier's liability.
Article 7 (Application Materials for the Platform of Online Car-Hailing)
To apply for providing online car-hailing business services in this municipality, besides the materials as prescribed in these Measures to be submitted to the municipal traffic administrative department, the following materials shall also be provided:
(1) The Report on the Accreditation Results of the Online Service Capabilities issued by the competent department of transport at the provincial level in the registration place.
(2) The information on its office premise, service outlet, and management personnel in this municipality.
Article 8 (Conditions for Vehicles Hailed Online)
To provide online car-hailing business services in this municipality, a vehicle shall, besides meeting the conditions as prescribed in these Measures, also meet the following conditions:
(1) It is registered in the municipality.
(2) It meets the discharge standards for motor vehicles allowed to be registered as prescribed by this municipality.
(3) Its wheelbase reaches or exceeds 2,600 mm.
(4) It has passed the environmental protection and safety performance tests for for-profit vehicles.
(5) For-profit compulsory liability insurance, for-profit third-party liability insurance, and insurance for passengers' accidental injury have been purchased for the vehicle.
(6) A fixed vehicle-borne satellite locating device meeting the standards has been installed in the vehicle and its data access to the industry supervision platform.
(7) An emergency alarm device enabling it to issue emergency information to the public security organs has been installed.
Article 9 (Conditions for the Drivers of Vehicles Hailed Online)
To provide online car-hailing business services in this municipality, a driver shall, besides meeting the conditions as prescribed in these Measures, also meet the following conditions:
(1) He or she is a permanent resident of this municipality.
(2) Within 1 year prior to the date of application, he or she has no more than 5 violations of law on road traffic safety when driving a vehicle.
(3) Within 5 years before the date of application, he or she has no record of revocation of the qualification certificate for taxi.
(4) As of the date of application, he or she has no more than 5 cases of failure to accept punishment within the time limit for violations of law on road traffic.
Article 10 (Validity Period of License)
Where the municipal traffic administrative department issues an administrative license decision, a Business License for Online Car-Hailing with a validity period of 3 years shall be issued to a company running a platform of online car-hailing; a Transport Certificate for Online Car-Hailing with a validity period of 3 years shall be issued to a vehicle; and a Driver's License for Online Car-Hailing with a validity period of 3 years shall be issued to a driver.
Article 11 (Restrictions on the Application for Vehicles Hailed Online)
An individual is only limited to applying for providing online car-hailing services for one of his or her vehicles and is required to hold a Driver's License for Online Car-Hailing.
Except taxis and passenger cars leasing operators, no application for providing online car-hailing services shall be filed for vehicles owned by other entities.
Where online car-hailing services are provided with vehicles owned by taxis and passenger cars leasing operators and drivers thereof, the requirements of Articles 8 and 9 of these Provisions shall be satisfied and applications for obtaining relevant certificates shall be filed with the municipal traffic administrative department.
Article 12 (Prohibition of Cross-Industry Business Operation)
Vehicles hailed online and cruising taxis (hereinafter referred to as the “cruisers”) shall not provide services beyond the approved business scope.
Article 13 (Collection of Fees and Payment of Taxes)
A company running a platform of online car-hailing shall strictly implement the provisions of marked pricing, publicize the contents of services, fee standards, complaint methods, and other issues in conspicuous positions of the network service platform and business premise, and provide passengers with electronic or paper taxi invoices of this municipality, without collecting any fees unspecified.
A company running a platform of online car-hailing and a driver shall file tax returns with the tax department of this municipality according to the law.
Article 14 (Responsibilities of the Platform of Online Car-Hailing)
In the case of a safety accident when online car-hailing services are provided, a company running a platform of online car-hailing shall assume the liability of advance compensation for the losses of passengers.
A company running a platform of online car-hailing shall enter into labor contracts or agreements with drivers. Where a labor relationship is established, a written labor contract shall be concluded according to the law, and social insurance premiums shall be paid according to the law. Where another agreement is signed, it shall contain clauses of accident guarantee for drivers during the period of business operation.
Article 15 (Protection of Personal Information)
A company running a platform of online car-hailing shall, through its service platform, notify, in a prominent manner, the purpose, manner, and scope for the collection and use of personal information on drivers, persons hailing cars, and passengers. Without the express consent of the information subject, a company running a platform of online car-hailing shall not use the aforesaid personal information for other business.
A company running a platform of online car-hailing shall not collect personal information of drivers, persons hailing cars, or passengers beyond the scope required for providing online car-hailing services.
Except when cooperating with the state organs in exercising the power of supervision and inspection or the power of criminal investigation according to the law, no company running a platform of online car-hailing shall provide any third party with the name, contact information, family address, bank account, payment account, geographical location, traveling route, or other personal information of any driver, person hailing car, or passenger, or disclose the geographic coordinates, geographical landmarks, or other sensitive information involving state security. After the occurrence of information disclosure, a company running a platform of online car-hailing shall report to relevant competent department in a timely manner and take timely and effective remedial measures.
Article 16 (Security of Network Information)
A company running a platform of online car-hailing shall comply with the relevant provisions of the state on network and information security, and store and use the personal information collected and the business data generated in mainland China for no less than 2 years. Outflow of the aforesaid information or data is not allowed, except as otherwise prescribed by laws and regulations.
No company running a platform of online car-hailing shall use its service platform to publish information prohibited by laws or regulations, facilitate the issuance of harmful information by any enterprise, individual, or another group or organization, or take effective measures to filter or block the spreading of harmful information. A company finding out that someone uses its network service platform to spread harmful information shall immediately stop the transmission, keep relevant records, and report to relevant state organs.
A company running a platform of online car-hailing shall, in accordance with the provisions of the law, provide necessary technical support and assistance for public security organs' completion of state security work according to the law and prevention and investigation of illegal and criminal activities.
Article 17 (Specifications for Business Services)
A company running a platform of online car-hailing shall comply with the following provisions:
(1) Vehicle-borne satellite locating devices and emergency alarm devices shall be maintained under the provisions.
(2) No car hailing information in the areas of cruiser operating stations in airports or railway stations shall be released.
A driver of a vehicle hailed online shall comply with the following provisions:
(1) No vehicle-borne satellite locating device shall be dismantled, damaged or shielded.
(2) No taximeter, top light, or other special facilities or equipment for cruiser shall be installed.
(3) Attracting passengers by cruising shall not be allowed, and no passengers shall be attracted in the areas of the cruiser operating stations in airports or railway stations.
(4) He or she shall not transfer the vehicle to another person to provide online car-hailing business services.
(5) A Transport Certificate for Online Car-Hailing shall be posted up.
(6) He or she shall cooperate with traffic law enforcement officers in implementing law enforcement inspection.
Article 18 (Management Requirements for the Platform of Online Car-Hailing)
A company running a platform of online car-hailing shall develop the rules on the management of vehicles and drivers. Where a driver causes a major security incident or has such acts as infringing upon the interests of passengers and disrupting the operating order, a company running a platform of online car-hailing shall, according to the requirements of the municipal traffic administrative department and relevant management rules, take such measures as suspending the acceptance of business and deregistration of the platform.
Article 19 (Administrative Supervision)
The municipal traffic administrative department shall organize assessment of the service quality of online car-hailing on a regular basis and disclose the basic information on the companies running platforms of online car-hailing, the assessment results of the service quality, the information on the handling of passengers' complaints, the information on the handling of illegal acts, and other information to the public in a timely manner.
The credit information of companies running platforms of online car-hailing and drivers shall be incorporated into the platform of this municipality for public credit information services.
The Shanghai Municipal Transportation Commission, the Shanghai Municipal Bureau of Public Security, and other departments shall have the power to collect and consult the vehicle registration, driver registration, operation and transaction, and other relevant data and information of companies running platforms of online car-hailing within their jurisdictions according to the law on the basis of the management needs.
The Shanghai Communications Administration, the Shanghai Municipal Bureau of Public Security, and the Shanghai Municipal Internet Information Office shall, according to their functions, investigate and punish companies running platforms of online car-hailing that illegally collect, store, handle, and utilize relevant personal information, violate the relevant provisions on internet information services, endanger network and information security, release harmful information on online car-hailing service platforms or facilitate the release of harmful information by enterprises, individuals, and other groups and organizations according to the law, and cooperate with the traffic administrative departments in punishing companies running platforms of online car-hailing recognized to have acts in violation of laws and regulations according to the law.
The Shanghai Municipal Bureau of Public Security and the Shanghai Municipal Internet Information Office shall, according to their functions, supervise and inspect the implementation of the network security management rules and the technical measures for security protection, prevent and investigate relevant illegal and criminal activities, and punish the violators.
Article 20 (Territorial Services)
The municipal traffic administrative department shall develop measures for the territorial management of vehicles hailed online and drivers. The traffic administrative departments of all districts may, upon commission by the municipal traffic administrative department, provide drivers of vehicles hailed online within their jurisdictions with acceptance of applications and other services.
Article 21 (Punishment on the Platform of Online Car-Hailing)
A company running a platform of online car-hailing that conducts one of the following acts in violation of these Provisions shall be ordered by the municipal traffic administrative department to make correction and be fined not less than 5,000 yuan nor more than 30,000 yuan:
(1) It fails to maintain the vehicle-borne satellite locating device or emergency alarm device under the provisions in violation of the provisions of item (1), paragraph 1, Article 17.
(2) It releases car hailing information in the areas of cruiser operating stations in airports or railway stations in violation of the provisions of item (2), paragraph 1, Article 17.
(3) It fails to develop or implement the rules on the management of vehicles and drivers in violation of the provisions of Article 18.
A company running a platform of online car-hailing that violates the provisions of laws, regulations, and rules and falls under serious circumstances shall be ordered by the municipal traffic administrative department to make rectification within the prescribed time limit and may be subject to suspension of acceptance of its new vehicle and driver registration business.
Article 22 (Penalty for Drivers of Vehicles Hailed Online)
A driver of a vehicle hailed online that falls under one of the following circumstances in violation of these Provisions shall be ordered by the municipal traffic administrative department to make correction, be fined not less than 1,000 yuan nor more than 5,000 yuan, and be included in the credit record of drivers and company running a platform of online car-hailing:
(1) He or she dismantles, damages, or shields a vehicle-borne satellite locating device in violation of the provisions of item (1), paragraph 2, Article 17.
(2) He or she installs a taximeter, top light, or other special facilities or equipment for cruiser in violation of the provisions of item (2), paragraph 2, Article 17.
(3) He or she attracts passengers by cruising, or attracts passengers in an area of a cruiser operating station in an airport or railway station in violation of the provisions of item (3), paragraph 2, Article 17.
(4) He or she transfers the vehicle to another person to provide online car-hailing business services in violation of the provisions of item (4), paragraph 2, Article 17.
(5) He or she fails to post up a Transport Certificate for Online Car-Hailing in the vehicle, in violation of the provisions of item (5), paragraph 2, Article 17.
(6) He or she refuses to cooperate with traffic law enforcement officers in implementing law enforcement inspection in violation of the provisions of item (6), paragraph 2, Article 17.
Article 23 (Penalty for Illegal Passenger Transport)
A company running a platform of online car-hailing or a driver in violation of the Several Provisions of the Shanghai Municipality for Investigation and Punishment of Illegal Passenger Transport by Vehicles and the Measures of the Shanghai Municipality for Investigation and Punishment of Illegal Passenger Transport by Vehicles shall be subject to administrative penalties and administrative compulsion under these provisions.
Article 24 (Date of Entry into Force)
These Provisions shall come into force on the date of issuance.