US-based ride-hailing company Uber settled a long-running legal dispute with Australian taxi and car hire services on Monday by agreeing to a payout of almost A$272 million ($179 million), according to the Australian Associated Press (AAP).
A court hearing on Monday for the class action brought by 8,000 taxi drivers and car hire companies against Uber was cancelled, AAP reported citing judicial sources.
The case was the fifth-largest class action in Australian legal history. The plaintiffs argued that Uber's "aggressive entry into the market" in 2012 had caused huge financial loss to other transport companies.
Uber had made use of unlicensed vehicles with unregistered drivers, Maurice Blackburn, a lawyer representing the plaintiffs, said.
Uber, which is based in San Francisco, had thus far consistently refused to pay damages.
AAP cited an Uber spokesman who said the legal action related to legacy obligations. When Uber entered the market more than a decade ago, there had been no rules relating to ridesharing, the spokesman said.
The settlement still has to be passed by the court before being paid out.
