News: 1637671063

  ARM Give a man a fire and he's warm for a day, but set fire to him and he's warm for the rest of his life (Terry Pratchett, Jingo)

Joint venture: Uber Eats to offer weed orders in Ontario

(2021/11/23)


Uber Technologies' munchies delivery service, Uber Eats, has set its sights on another growth industry in the Canadian province of Ontario, [1]Reuters reports .

Yeah, it's weed. Canada legalised cannabis in 2018, and since then the market has taken off to be worth CAD$5bn (£2.9bn, $3.9bn) a year – [2]helped along by the pandemic leaving tokers homebound with not much else to do but, well, toke.

Uber CEO Dara Khosrowshahi has already made made overtures to the marijuana market in the US, where the psychoactive plant has been largely decriminalised but remains illegal in some states, [3]telling CNBC in April : "When the road is clear for cannabis, when federal laws come into play, we're absolutely going to take a look at it."

[4]

But Uber Eats stops short of offering a true door-to-door dial-a-high, instead partnering with cannabis retailer Tokyo Smoke so that customers can place an order through the smartphone app then pick it up from their nearest branch.

[5]

[6]

According to Reuters, the company claims: "The partnership will help Canadian adults purchase safe, legal cannabis, helping combat the underground illegal market which still accounts for over 40 per cent of all non-medical cannabis sales nationally."

Indeed, some Canuck cannabis connoisseurs seem to think [7]that legal weed sucks and are sticking with the black market – something the government would like to stamp out for obvious reasons ($$$).

[8]

Although an Uber spokesbeing told the newswire there was "nothing more to share at this time" with regard to expansion of the service to other provinces or in the States, they added: "We will continue to watch regulations and opportunities closely market by market. And as local and federal laws evolve, we will explore opportunities with merchants who operate in other regions."

[9]What, Uber charges disabled people fees for taking a while to get into their ride? Doesn't seem fair, says Uncle Sam

[10]DoorDash, Grubhub, Uber Eats sue NYC for trying to permanently cap delivery fees

[11]Uber drivers can now unionise after ride biz recognises GMB, one of the UK's largest trade unions

[12]Following Supreme Court ruling, Uber UK recognizes drivers as workers, offers min wage, holiday pay, pension

While the illicit market may have the dankest of buds, as Canadian potheads claim, we imagine it can't compete with the pseudo-AI features common to smartphone apps. As Uber Eats is ostensibly a food delivery service, it is now in a unique position.

"We see you've ordered some cannabis. Would you like some random carbs to go with that?"

A joint venture made in heaven, some might say.

Highs and lows

On the other side of the pond, however, the focus is on Uber's poor track record over worker rights.

Early this year, the ride-hailing part of the company was in the UK's Supreme Court arguing that its drivers are self-employed contractors and therefore not entitled to holiday pay, minimum wage, and paid rest breaks.

[13]Judges disagreed , ruling that Uber was in violation of employee law and perhaps Transport for London regulations too. The company today returns to the High Court seeking declaratory relief on the latter point.

[14]

Uber holds that drivers and passengers contract directly together while it claims to only act as an agent for the driver. The App Drivers & Couriers Union (ADCU) argues that this model "was designed to help Uber avoid its employment and VAT tax obligations by misclassifying itself as a tech company acting as a booking agent rather than the transport operator which it is licensed by Transport for London to be."

Citing the Private Hire Vehicles (London) Act 1998, Supreme Court judge Lord Leggatt made the observation in July this year

[15]PDF

: "Uber maintains that the acceptance of private hire bookings by a licensed London PVH operator acting as agent for drivers would comply with the regulatory regime. I am not convinced by this... an arrangement whereby drivers contract directly with passengers and Uber London acts solely as an agent is not one that is legally available."

The comment was made "in obiter" (in passing) so Uber is looking for clarification that it is legal for Uber to accept bookings on behalf of drivers.

ADCU president Yaseen Aslam, who was lead claimant in the Supreme Court case against Uber, commented: "It is outrageous for Uber to launch this brazen legal action to undermine the Supreme Court ruling in favour of their own drivers. Instead of reforming their business model, Uber is doubling down on misclassification at the expense of passengers, drivers, and the Treasury." ®

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[1] https://www.reuters.com/markets/commodities/exclusive-uber-takes-new-trip-with-cannabis-delivery-ontario-2021-11-22/

[2] https://www.forbes.com/sites/javierhasse/2021/04/14/canada-cannabis-sales-doubled-in-2020-hitting-26b-heres-whats-next/?sh=760f8e68494f

[3] https://www.cnbc.com/2021/04/12/uber-ceo-says-company-could-get-into-cannabis-delivery.html

[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/bootnotes&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2YZ0eO1uW9rw0OMuLzaQztwAAAMI&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0

[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/bootnotes&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44YZ0eO1uW9rw0OMuLzaQztwAAAMI&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0

[6] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/bootnotes&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33YZ0eO1uW9rw0OMuLzaQztwAAAMI&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0

[7] https://www.theguardian.com/society/2020/mar/18/cannabis-canada-legal-recreational-business

[8] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/bootnotes&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44YZ0eO1uW9rw0OMuLzaQztwAAAMI&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0

[9] https://www.theregister.com/2021/11/11/uber_slapped_with_a_federal/

[10] https://www.theregister.com/2021/09/10/nyc_delivery_lawsuit/

[11] https://www.theregister.com/2021/05/28/uber_gmb_union/

[12] https://www.theregister.com/2021/03/17/uber_uk_drivers_workers/

[13] https://www.theregister.com/2021/02/20/uk_court_uber/

[14] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_offbeat/bootnotes&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33YZ0eO1uW9rw0OMuLzaQztwAAAMI&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0

[15] https://www.supremecourt.uk/cases/docs/uksc-2019-0029-judgment.pdf

[16] https://whitepapers.theregister.com/



Finally!

chivo243

You can get the munchies, and have food brought at the same time! Brilliant!

Re: Finally!

Arthur the cat

The problem is that by Canadian law Uber can't actually deliver the weed, so you've got to go out and get it yourself, which rather suggests Uber are hoping you'll get an Uber cab to take you there and back.

Re: Finally!

chivo243

Waaait... There are laws in Canada?

Re: Finally!

Anonymous Coward

Hobitts and Wizards always smoke pipe-weed, I love watching Lord of the Rings, I wonder if they filmed all of the smoking scenes in Canada?

Uber is full of shit.

ShadowSystems

If the driver is truely independant & thus able to set their own rates, then how many of them would do the job for what amounts to below minimum wage? How could they cover wear & tear on their vehicles, petrol to keep filling the rides, and the insurance premiums that go through the roof once your provider finds out that you've decided to do a stint as a commercial driver in your normally private vehicle?

The answer is obvious: they are not independant, they have no ability to set their own rates, and Uber is so full of shit that it makes a used car salesman seem posatively saintly in comparison.

Re: Uber is full of shit.

elsergiovolador

Modus operandi is - find a loophole in regulation, pump money into the business so it will grow large - then when it becomes too big to fail, the regulators will have difficult time taking it down - "people will lose jobs!" and so on.

Then lobby for regulatory capture so that the competition will be too expensive / difficult to form.

Keep exploiting people who cannot start their own business even if they wanted to - because there is too much regulation, taxes are too high for small business and so on.

The solution would be to ruthlessly close those operations and rebalance the tax system so that small businesses don't pay more tax than big corporations.

But missing piece of the puzzle are services that actually investigate and prosecute corruption. Otherwise politicians can just keep accepting money into their structures and pretend they are trying to solve the problem until they retire into the sunset.

Re: Uber is full of shit.

Twanky

the insurance premiums that go through the roof once your provider finds out that you've decided to do a stint as a commercial driver in your normally private vehicle

I'm no fan of Uber or motor insurance providers but if you're waiting until your insurance provider 'finds out' that you've started taking private hires then whatever insurance you have will likely be invalid and any claim you make may be refused and you may well find it difficult to get any insurance in future.

Re: Uber is full of shit.

Version 1.0

Maybe, but we're all full of shit until we get up in the morning.

Another gooooaaaalll for El Reg!

sokolnik

"Joint" venture!

No delivery

mstreet

It may not be legal to deliver weed via Uber, but it sure doesn't stop their drivers trying.

Working in recreational dispensary (a fine post IT, pre-retirement profession BTW), I've already had to explain to three of their drivers, that if I give them weed to take to a customer, it is NOT called trafficking because a car is involved.

You'd think Uber would let them know this prior to sending them out into the real world.

It's union rules. There's nothing we can do about it. Sorry.