San Francisco is suing California over a state law that allows Uber and Lyft drivers to have a single business license to drive anywhere in the state.
City Attorney Dennis Herrera says the law prevents San Francisco from requiring drivers who live outside the city to obtain a local business license when driving in the city. Herrera says that deprives the city of money that could be used to offset maintenance and traffic costs from the large number of out-of-town drivers.
The city filed the lawsuit on Thursday in state court.
Herrera says nearly every other business owner who operates in San Francisco is required to obtain a local license.
The law was passed last year. The office of the state senator who authored it did not immediately have comment.