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Compendium of Press Coverage: RESOLUTION:
STUNG CABBIES STING BACK
City To Settle Lawsuit
Brought by Cab Drivers Caught in TLC Stings By JOSEPH GOLDSTEIN - Staff
Reporter of the Sun The city will pay more than $6 million
to settle a lawsuit brought by about 500 cab drivers who claim they were
punished unfairly amid allegations they avoided black customers and refused
fares. Former and current cab drivers
are represented in the class action lawsuit brought in U.S. District Court in
The legal complaint does not
dispute that it is often difficult for black men to get a cab. It contends
that the TLC courts stripped cab drivers of their constitutional rights. "I would say there are some
racial biases among cab drivers like there are among all people," the
attorney representing the drivers, Daniel Ackman, told The New York Sun.
"But they never proved anybody had a racial bias. They never attempted
to prove it." The cab drivers had their taxis
impounded and their licenses pulled after they allegedly ignored black
investigators posing as customers or refused to drive to specific
destinations, the complaint accompanying the lawsuit states. The power exercised by
investigators who seized cabs and took licenses exceeded the penalties
permitted by Mr. Ackman estimates that only
15% of his clients were prosecuted in TLC courts after allegedly passing by a
black investigator hailing a cab for a white investigator doing the same. The
rest were prosecuted for other fare refusals. The ongoing Taxi and Limousine
Commission sting operation, called Operation Refusal, was expanded following
a complaint by actor Danny Glover. Mr. Glover, who is black, filed a
complaint in 1999 with the TLC, claiming he had difficulty in finding a ride
in A spokesman for the TLC, Allan
Fromberg, declined to comment on the lawsuit except to convey a brief
statement by current TLC Commissioner, Matthew Daus. "The settlement addresses
an enforcement policy that was in place for a limited time nearly seven years
ago, and has no effect upon the TLC's successful refusal enforcement efforts
which currently have 97% driver compliance," the statement said. Neither Mr. Fromberg nor a
spokeswoman for the New York City Law Department, Kate Ahlers,
would discuss the terms or amount of the settlement. Mr. Ackman said the agreement
calls for about 100 drivers who had their licenses revoked to receive
payments of $26,000. Those former drivers and another 400 would also receive
$121.50 for each day their license was suspended before it was either revoked
or returned. Mr. Ackman said the average suspension was 62 days. The 26-year career of the lead
plaintiff, John Padberg, ended quickly, over the course of three blocks in March 8, 2006
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Hundreds of taxi
drivers who were accused of discrimination and lost their driving privileges
settled a class-action lawsuit against the city, their lawyer said Monday.
The cabbies' licenses were suspended or revoked as part of a crackdown on
those who wouldn't pick up passengers because of their race, gender or other
factors.
The city's effort began in November 1999 after "Lethal Weapon"
actor Danny Glover filed a complaint with the Taxi & Limousine Commission
because he was passed by several available taxis.
In the lawsuit, filed in 2000, attorney Dan Ackman argued that the drivers'
licenses were seized and revoked without due process of the law and that the
commission's taxi court was biased and unconstitutional.
A judge ruled in 2002 that the suspension policy was unconstitutional;
additional allegations involving the taxi court and the revocation policy
were set to go to trial on Monday before the settlement was reached, Ackman
said.
The city's law department said it had "reached a settlement in
principal" and was working to finalize the agreement. Ackman said the
settlement must be approved by a federal judge.
Under the settlement, about 500 drivers each will get $121.50 for each day
they were suspended, Ackman said. The suspensions averaged 62 days, he said.
About 100 drivers whose licenses were revoked after the suspensions will
receive an additional $26,000 each and will be allowed to apply for new
licenses, Ackman said.
The commission also will refund fines it collected from the drivers, he said.
Under the current Operation Refusal, drivers are issued summonses if they are
accused of discrimination but are not penalized until after they appear in
taxi court, the commission said.
"The settlement addresses an enforcement policy that was in place for a
limited time nearly seven years ago and has no effect upon the TLC's
successful refusal enforcement efforts," the commission's chairman,
Matthew Daus, said in a statement.
The Bias Of The TLC Courts
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After the actor Danny Glover complained to the city in 1999 that five available taxicabs had refused to take him - for no other reason, he said, than because he is black - the Taxi and Limousine Commission announced a crackdown on drivers who denied service to customers.
In a campaign called Operation Refusal that is still under way, inspectors fanned out across the city. Hundreds of drivers were issued tickets, their licenses suspended or even revoked.
Today, however, it is the commission, a city agency, that is defending its policies against one Daniel L. Ackman, a Columbia-trained lawyer who has become something of a municipal gadfly.
In separate lawsuits, Mr. Ackman has already won two rulings against the agency. He has opened up the city's so-called taxi court to the public and persuaded a judge to strike down the practice of summarily suspending licenses based only on allegations that are made - but not yet proved - against drivers.
Now, Mr. Ackman has begun his most ambitious legal effort yet. In briefs
filed last week in
"This is a lawless agency," Mr. Ackman said in an interview. In his current suit, while acknowledging that Mr. Glover's experience "touched a nerve" with many cab riders, he wrote, "Neither the legitimacy of his complaint, nor the allegedly heartfelt desire to cure it, justified the systemic trampling of the constitutional rights of taxi drivers."
City lawyers were equally adamant that Mr. Ackman's case is baseless and should be dismissed. They said they were fighting to preserve an important principle: that tough and swift action must be taken against drivers who discriminate.
"It is significant because there has been, unfortunately, a history
of people being refused service because of their race, disability or the
destination they want to go to," said Dana Biberman, the primary lawyer
defending the city. "Not only is it unlawful, but it's a terrible
disservice to both the residents and citizens of
Since the city began cracking down on service refusal in 1996 - a policy that was strengthened after Mr. Glover's experience in 1999 - the practice has declined, according to the commission.
In 2004, Operation Refusal reported a 6 percent service-refusal rate in tests conducted by undercover inspectors, compared with about 20 percent in 1996.
Last year, traffic violations were the most common complaints against
cabdrivers, followed by driver rudeness and then service refusals. Drivers
are required to take passengers to any destination in the city and
Westchester and Nassau Counties, as well as to
"We've maintained Operation Refusal over the years with a vigorous presence, to combat all types of service refusals," said the commission's chairman, Matthew W. Daus. "That effort continues, and we believe the statistics show that the operation has created an appropriate deterrent atmosphere to dissuade potential violators."
Mr. Ackman's legal efforts against the commission began five years ago, when, while a graduate journalism student, he sued to open the proceedings of the taxi court, formally an administrative tribunal, to the public. A state judge agreed with him in March 2000.
But Mr. Ackman's interest did not wane. In June 2000, he filed a new suit, arguing that the commission's enhanced enforcement of Operation Refusal violated cabdrivers' rights to due process.
In the latest case, each side has won a ruling in its favor. In April 2002, a federal judge, Raymond J. Dearie, ruled that drivers accused of refusing to provide service must be given a chance to defend themselves before their licenses are suspended. But he also ruled that it was not unconstitutional for the commission to revoke the license of a first-time offender.
The focus of the suit has turned to the impartiality of the taxi court.
At any time, the panel employs about 60 part-time administrative law judges. Although 100,000 cases are heard each year, most take just a few minutes. Customers can bring complaints, but the majority of cases are brought by the agency's inspectors and lawyers or by the police.
Mr. Ackman argued that the commission implicitly instructed the judges to rule against the drivers and that they are not independent because they are at-will employees.
He said that several judges had been fired because they disagreed with the agency. The commission contends that the judges were removed for legitimate reasons, or because they no longer sought work. Officials also argued that the judges "enjoy qualified independence" and are free to decide the facts as they see fit. Judge Dearie has tentatively scheduled a trial for March, but the case could be resolved before then.
For someone who has invested hundreds of hours suing the taxi agency, Mr. Ackman conceded that he does not take cabs often. "It's cheaper to ride the subway," he said.
District Court decision:
THE NEW YORK TIMES
May 1, 2002
A federal judge in
The decision came in a class-action lawsuit filed by a group of drivers
whose licenses were suspended as part of an undercover enforcement operation
to combat illegal refusals. In late 1999, the operation became much more
aggressive — especially against refusals based on race — after the actor
Danny Glover, who is black, protested that he had been passed by and treated
rudely by
As part of the stepped-up operation, drivers faced immediate suspension of their taxi licenses if they were observed refusing passengers without a legal excuse to do so. Lawyers for several cabbies contended that the practice was a violation of their clients' due process rights under the 14th Amendment.
Judge Raymond J. Dearie of United States District Court in
But on another important issue in the case — whether the taxi commission has the power, after a hearing, to suspend or revoke taxi licenses after only the first or second time a driver has illegally refused a hail — Judge Dearie sided with the agency, saying that city laws "at least arguably" give it the authority to do so. Before enforcement became more aggressive, cabbies caught refusing passengers were generally subject to having their licenses suspended only after a second offense and revoked only if three offenses occurred within three years.
Taxi commission officials said they considered the decision a victory. They added that they had decided recently to stop suspending licenses before giving cabbies a hearing, after initial comments from Judge Dearie indicated that he would find the practice unconstitutional.
Matthew W. Daus, the agency chairman, said the ruling "truly underscores the T.L.C.'s commitment to protect the riding public from service refusals and confirms that our current practices are in full conformity with the judge's findings." Bhairavi Desai, a staff coordinator for the New York Taxi Workers Alliance, which is a plaintiff in the case and represents 3,300 drivers, said she hoped the decision would put the agency on notice that drivers should have the chance to defend themselves. "You'd think that the taxi industry would have already had this right for drivers," she said.
THE
By WILLIAM J. GORTA
The city's policy of immediately suspending a cabby's license for not picking up a minority fare - instituted after actor complained that several cabbies had ignored him - was slapped down in federal court yesterday.
From now on, hacks will be entitled to a hearing before their licenses can be yanked.
The city cracked down on cabbies - instituting a sting program called Operation Refusal in 1999 - after Glover complained to the Taxi and Limousine Commission.
Drivers cited for passing up minority fares had their licenses suspended on the spot - despite an existing law that said drivers could only be fined up to $300 for a first refusal-of-service offense, have their licenses suspended for a second offense and revoked for a third.
District Judge Raymond Dearie, in a decision released yesterday, - 17 months after the initial challenge by the cab drivers was filed split the difference, giving the TLC the right to suspend or revoke for a first refusal-of-service infraction, but only after a hearing.
About 500 cabbies had their licenses summarily pulled in the crackdown, and about 100 of them saw their licenses revoked,according to TLC figures.
Glover's lawyer did not return a call for comment.
"Having a hearing is nice but really not very helpful if the hearing is in front of a Taxi and Limousine Commission judge," said Dan Ackman, a lawyer for some of the cabbies in the suit.
"The TLC judges are totally beholden to the TLC and will not decide any case against the TLC."
City officials, who had ended the automatic suspension policy several weeks ago, were pleased with their half of the loaf.
"The judge's ruling truly underscores the TLC's commitment to protecting the riding public from service refusals and confirms that our current practices are in full conformity with the judge's findings," said TLC chairman Matthew Daus.
A spokeswoman for the city's Law Department said the decision would be reviewed to determine what the next step should be.
Federal court rules in favor of cabbies in
"Operation Refusal"
05/01/2002
Associated Press Newswires
The ruling came in a class action suit filed against the Taxi and Limousine Commission by a group of cab drivers who claimed yanking their license before a hearing deprived them of a chance to defend themselves.
The suit stemmed from a program called "Operation Refusal," in which undercover police and taxi commission inspectors posing as passengers attempted to ferret out discriminatory drivers.
Cab drivers caught bypassing minorities were issued citations and had their licenses suspended and their cabs temporarily confiscated, pending a later hearing.
U.S. District Court Judge Raymond Dearie in
But the judge sided with the TLC on whether it had the power - after a hearing - to suspend or revoke taxi licenses after only the first or second offense, saying city laws "at least arguably" give it the authority to do so.
"Operation Refusal" came about
after actor Danny Glover, who is black, filed a complaint with the TLC in
which he claimed several taxis drove past him.
NEWSDAY
Taxi drivers accused of refusing to pick up blacks or other minorities can
no longer have their licenses immediately suspended or revoked, a federal
judge in
A class-action suit filed two years ago on behalf of the city's 41,000 yellow-cab drivers said the practice denied them due process.
Part of a Taxi and Limousine Commission program known as Operation Refusal, the automatic suspensions began in late 1999 after actor Danny Glover protested publicly that cabbies often passed him by because he is black.
Judge Raymond Dearie agreed that the TLC cannot summarily suspend licenses pending a hearing. But the TLC can still suspend or revoke licenses after a driver has been found guilty of a service refusal.
TLC officials said the agency is already in conformity with the judge's ruling, having ended the practice of automatic suspensions earlier this month.
"The TLC remains committed to ending the practice of driver service refusal, regardless of the reasons they occur," chairman Matthew Daus said in a statement.
Officials with the city's Law Department said no decision has been made whether to appeal.
Under Operation Refusal, which was first initiated in 1996, undercover police officers and TLC inspectors pose as passengers in an effort to weed out discriminatory drivers.
After Glover's complaints brought attention to the issue, the TLC enacted tougher policies. Cab drivers who were issued citations had their licenses suspended and their cabs temporarily confiscated, pending a later hearing.
Since then, out of an estimated 500 cases, about 400 drivers have been found guilty of service refusals, and 100 of those have had their licenses revoked, said a TLC spokesman.
Meanwhile, according to the TLC's own figures, the refusal rate has plummeted from roughly 20 percent in 1996 to less than 5 percent today, the spokesman said.
THE DAILY NEWS
TLC Curbed on Suspensions
Original Publication Date: 5/1/02
A federal judge has put the brakes on the city's policy of immediately suspending the hack licenses of cabbies caught refusing to pick up members of minority groups.
The undercover crackdown — dubbed Operation Refusal — was launched in 1999 by then-Mayor Rudy Giuliani after actor Danny Glover complained publicly about cabbies passing him by.
According to the Taxi and Limousine Commission, about 85% of suspensions stemmed from refusals to go to a particular destination, not racial bias.
Seven cabbies challenged the suspension policy, arguing that immediately stripping drivers of licenses was unconstitutional. Brooklyn Federal Judge Raymond Dearie agreed.
In his decision, Dearie acknowledged that service refusal is "deplorable and unacceptable," and said drivers who engage in the practice should be punished.
But suspending a license without a hearing goes too far, Dearie ruled Friday.
"Prompt, meaningful suspension hearings held less than two weeks after an alleged service refusal would meet the TLC's legitimate goal," he said.
Dearie did uphold the agency's right to suspend and revoke a cabbie's license after a hearing, even for a first offense.
Since the policy went into effect, about 500 licenses have been suspended on the spot, and about 100 were ultimately revoked, according to a spokesman for the agency.
John Marzulli
THE NEW York City Taxi and Limousine Commission violated the due process rights of cab drivers when it summarily suspended their licenses for refusing to pick up people because of alleged racial bias, a federal judge ruled Friday.
The ruling came in a challenge to Operation Refusal, a highly publicized sting operation created in 1999 after the actor Danny Glover, who is black, was repeatedly turned down by passing cabs. Eastern District Judge Raymond J. Dearie said that a taxi driver's compelling interest in keeping a license outweighed the TLC's need to discipline drivers, which did not have to be done immediately.
"Depriving the plaintiffs of a presuspension hearing violated their due process rights," the judge wrote. Judge Dearie ordered the TLC to reinstate taxicab licenses that were summarily suspended without a hearing. But the judge ruled against the drivers by finding that the TLC had the right to suspend drivers after only one offense, as long as the agency holds a hearing and issues a decision on the merits.
The drivers had argued that the City's Administrative Code precluded the TLC from meting out such a harsh punishment for two offenses or fewer, but Judge Dearie said "merely incorrect or ill-advised government action does not violate substantive due process." He said there was nothing to suggest that TLC chairperson Diane McGrath-McKechnie and former Mayor Rudolph W. Giuliani "were prompted to act by anything but legitimate motives" in demanding the suspensions. The decision in Padberg v. Diane McGrath-McKechnie, 00 cv 3355, will be published Thursday.
Date Received: April 26, 2002