Texas Regulators Crack Down on App-Driven Hauling Service

According to the Austin American-Statesman, it's not just ride-sharing companies like Uber drawing attention from regulators, at least in Texas, but also a similar service that's hauling goods rather than people. In a letter demanding that Austin-based Burro cease its phone-coordinated delivery service, Texas Department of Motor Vehicles director of enforcement William P. Harbeson says that "[a]nyone moving household goods in a pick-up truck or other type or size of vehicle for hire is required to register" with the Department, "and show proof of insurance in the amounts required by law." According to the letter, this includes not just professional or even regular haulers, but also people moving a piece of furniture bought at a garage sale for pay; considering the number of people offering that kind of service on Austin's Craigslist, or in the parking lot of home supply stores like Home Depot, it seems like a regulation that will put a dent in the wallet of quite a few people. Burro, for its part, says its providers "are backed by $1M in insurance" — more than can be said for one of the obvious substitutes, which is relying on friends or acquaintances with a roof-rack and some bungie cords.

Comments

Re: Hauling goods is serious business

[ShanghaiBill]

but the loss of convenience is incurred by the customer, who made the voluntary choice to go with the unregistered unlicensed option.

No, the loss of convenience is also incurred by the following car that is damaged by the junk falling out of the pickup.

This is a very different situation from Uber, since there are no "medallions" or other market limiting restrictions. Just a reasonable demand for proof of insurance. Since Burro claims they already have the insurance, this is not an onerous demand in the least.