Over the past several years, new car rental business models – including so-called “peer-to-peer” or P2P car rentals companies – have entered the car rental market. ACRA’s position is that all companies renting vehicles to the public for profit (regardless of the business model or platform) must comply with all state and federal laws – insurance, liability, recalls, consumer protection, taxes, and fees for operating at airports.
Recently, a number of airport authorities and city and county government agencies have taken formal and informal steps – from litigation to cease-and-desist orders — to require P2P car rental companies to comply with state and local tax laws and policies for companies that rent cars at airports. Below is a timeline of those actions with links to the relevant documents. If you have questions or comments on this timeline or ACRA’s position on the P2P car rental model, please contact Sharon Faulkner at sfaulkner@acraorg.com.
2013
- New York State Department of Financial Services
May 2013
“…RelayRides sold New Yorkers a false bill of goods…” - City of San Francisco
October 2013
RelayRides signs “off-airport rental car business permit” at SFO
2016
- Miami International Airport
March 2016
“You are hereby advised to cease doing business at MIA…” - Boston Logan International Airport
April 2016
“…Turo’s website misleads the members of Logan Airport’s traveling public…” - Dallas/Fort Worth International Airport
July 2016
“Also, any rental car agreement obtained by them, or by Turo, will be void and unenforceable, because the operation is illegal.” - Denver International Airport
July 2016
“In this case DEN has the additional concern of whether the TURO business model is legal in Colorado.” - City of San Francisco
November 2016
“From the Airport’s perspective, by providing these services, there is no material difference between RelayRides and the other off-airport rental car companies.” - Phoenix Sky Harbor International Airport
December 2016
“These activities are in violation of Phoenix City Code and Airport rules and regulations.”
2017
- Los Angeles International Airport Rules and Regulations
January 2017
“Rental Car Company” – Any business that, directly or indirectly, provides, procures and/or brokers rental vehicles as part of its business and/or conducts, facilitates, and/or manages vehicle rental activities as part of its business. This includes, but is not limited to, traditional rental car businesses, brokers for car rental businesses, rental car delivery companies, peer-to-peer car rental businesses and car sharing businesses.” - Tampa International Airport
April 2017
“All commercial vehicle operations by Turo or Turo representatives/drivers must comply with the Authority’s requirements.” - Cleveland Hopkins International Airport
April 2017
“…both Turo and Turo’s drivers are profiting off activities located at the Airport without a permit or the Airport’s approval.” - Los Angeles International Airport
April 2017
“Regardless of what you characterize your business, no business is allowed to operate at LAX without the necessary license, lease, contract, and/or permit…” - Salt Lake City International Airport
May 2017
“…Such business practice is unfair and illegal.” - San Jose International Airport
May 2017
“…not only does Turo put those who receive permits at a competitive disadvantage, but it also deprives the Airport of fees and charges.” - Sacramento International Airport
June 2017
“Turo is currently conducting unauthorized off-airport rental car operations at Sacramento International Airport (SMF).” - Minneapolis-St. Paul International Airport
July 2017
“To date, your company has not complied with the regulatory framework…” - Las Vegas – McCarran International Airport
July 2017
“…Turo has been conducting commercial operations at McCarran International Airport without the required permits, business licenses, or insurances.” - City of San Francisco
September 2017
“Because Turo is acting as a rental car company at SFO, marketing itself as a rental car company at SFO, and directly competing with rental car companies at SFO, it cannot continue such operations without a valid off-airport rental car permit.” - San Francisco International Airport
August 2017
“In the absence of an operating permit, your continued operation of any services at SFO is an unlawful trespass.
2018
- City and County of San Francisco
January 2018
Filed a lawsuit against Turo asserting that Turo’s operation of an off-airport rental car business on SFO property without a permit violated California’s Unfair Competition Law. - Orlando International Airport
January 2018
“…fosters good service and fair pricing, but it must be conducted within the context of the Aviation Authority’s Ground Transportation Rules and Regulations.” - Spokane International Airport
February 2018
“Our management approach to new and innovative services for our passengers has been to facilitate these activities, however, and we must do so within the regulatory and contractual operating environment…” - Portland International Airport
March 2018
“Turo actively markets itself to the public as a rental car company doing business at PDX.” - Hartsfield-Jackson Atlanta International Airport
May 2018
“…Turo is engaging in car rental operations…” - Boston Logan International Airport
May 2018
“…Turo misleads the members of Logan Airport’s travelling public into believing that Turo has permission to operate…” - Tampa International Airport Peer-to-Peer RFP
June 2018
Tampa issues an invitation to qualify and negotiate use and permit agreement for peer-to-peer vehicle sharing concession. - Seattle-Tacoma International Airport
September 2018
“…Turo’s core business appears to be the facilitation of rental car transactions as defined by applicable laws.” - Phoenix Sky Harbor International Airport
October 2018
“…Turo generates revenue through car rental transactions…”
2019
- Metropolitan Nashville Airport Authority
February 2019
“Any commercial operator who wishes to do business at the airport must have a valid MNAA issued permit…” - Richmond International Airport
March 2019
“…Turo improperly advertises and offers to provide car rental services at the Airport…” - Hillsborough County Aviation Authority (Tampa, FL) legal filing
March 2019
“While Turo does not own its Co-Defendants’ vehicles that Turo rents to the public, Turo nonetheless offers a full-service rental car experience comparable to that offered by “traditional” rental car companies.” - City of San Antonio
April 2019
“…Turo is doing much more than merely providing a platform for an online marketplace.” - City of Oklahoma City
May 2019
“…allowing Turo’s platform and web application to indicate these services are available at OKC is false and deceptive advertising. This may cause confusion and mislead the public since neither Turo, nor its platform users are authorized to engage in any rental car or commercial operations on the airport.” - Massachusetts Port Authority legal filing
June 2019
“In addition to the revenues lost as a result of this refusal, Turo’s expanding operations at Logan cause congestion on Logan’s roadways and curbs, where Turo arranges for pickup and delivery of vehicles, cause safety risks from that increased congestion, and result in an unfair competitive advantage…” - City and County of San Francisco legal filing
November 2019
“…Turo describes itself differently to different audiences to suit its agenda at that moment”
“Turo presents a false narrative that there is a grand national conspiracy between behemoth rental car companies and airports against the fragile startup and disruptor Turo.” - City and County of San Francisco legal filing
December 2019
“If SFO were to allow Turo to operate at SFO at substantially lower charges than those paid by permitted off-airport and on-airport rental car companies, Turo would gain an unfair economic advantage.”