Grab Ordered to Pay Compensation to Vietnamese Rival

After an 18-month long legal battle, a court in Vietnam ordered Grab to pay Vinasun (Vietnam Sun Corporation) 4.8 billion dong as compensation for the loss in profit the local taxi operator experienced due to the southeast asian ride-hailing giant’s unfair business practices.

The verdict says that Grab violated Vietnamese regulations because it operated more as a taxi company rather than a technology firm, and there was a link between the operations of Grab and Vinasun’s losses in revenue.

Grab responded in a statement earlier this week, saying that Vinasun needed to “evolve and transform” its business and not “reduce the contestability of the market and pursue a lawsuit that seeks to discourage the entry of innovative companies”.

Source: Reuters

Post a Comment