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  1. #1
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    Feb 2012
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    Default New Regulations and Business Vested Rights or Grandfathering

    My question involves business law in the state of: Louisiana
    My family has owned a taxi company for 70 years and has serviced the entire county/parish for all of those years. Recently some cities have started to enforce laws that were passed years back that say you must have a permit for that city in order to do business as a taxi. The problem is they are not issuing any new permits at this time. We were never informed about these ordinances because our office is not in this city, it is in another city in the county/parish. Our argument is that we have serviced the entire county/parish for over 70 years prior to these cities even having taxi cab ordinances of any kind or even a taxi division. Now all of a sudden they say we need permits but cannot sell us any because they are locked. We have never been told that we had to obtain these permits since we have been in business. We feel that we should have Vested rights or Grandfathering since we serviced the county/parish prior to these ordinances being created and failure on their part to let us know we needed them. Do we have a valid argument here?

  2. #2
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    Default Re: New Regulations and Business Vested Rights or Grandfathering

    If you don't do your due diligence to obtain proper permits for your business and comply with the law, that's your fault as a business owner as opposed to the municipality's fault for not detecting your unlicensed business activities.

    There is no reason a municipality cannot impose a new licensing requirement on businesses.

  3. #3
    Join Date
    Mar 2008
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    1,995

    Default Re: New Regulations and Business Vested Rights or Grandfathering

    Quote Quoting RamRod
    View Post
    My question involves business law in the state of: Louisiana
    My family has owned a taxi company for 70 years and has serviced the entire county/parish for all of those years. Recently some cities have started to enforce laws that were passed years back that say you must have a permit for that city in order to do business as a taxi. The problem is they are not issuing any new permits at this time. We were never informed about these ordinances because our office is not in this city, it is in another city in the county/parish. Our argument is that we have serviced the entire county/parish for over 70 years prior to these cities even having taxi cab ordinances of any kind or even a taxi division. Now all of a sudden they say we need permits but cannot sell us any because they are locked. We have never been told that we had to obtain these permits since we have been in business. We feel that we should have Vested rights or Grandfathering since we serviced the county/parish prior to these ordinances being created and failure on their part to let us know we needed them. Do we have a valid argument here?
    Valid argument or not, you have not followed the regulations. Having said that, regulations are made by politicians for various reasons, often to protect businesses in their counties. I owned a businss here in NYC, and serviced taxi fleets, and they all have to get licenced in neighboring counties besides NYC before they can go there and pick up passengers to bring to the NYC airports. Many fleets had ignored the requirement for years, but there's been increased enforcement these days and many were hit with fines.

    This is a political issue that may require some lobbying, and you'll need the help of some influential local politicians. If there is any grandfathering involved, the laws can always be amended. Remember, this is election year, and if you remember your local politician, he will remember you. Laws can always be amended to accomodate local businesses, so you'll have to check around your local chamber of commerce, or political club, to see who can connect you to the right people. A lawyer looking for loopholes is not going to help you here.

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