Court: Government may act against e-steps, but asks it to hold off on fines

ORANJESTAD – The Government of Aruba and two companies that rent e-steps, e-bikes and e-scooters, Evikes and Friendly Green Bikes, appeared in court today in a case that could determine how these vehicles will be regulated in the future. At the end of the hearing, the judge did not issue a final ruling but instead handed down a temporary decision. While the court confirmed that the government is legally allowed to take enforcement action against the companies, it also asked the government not to impose fines until a final judgment has been delivered.

The case

As previously reported, the dispute began on May 27, when Justice Minister Arthur Dowers separately notified both companies that they were renting out the vehicles without the mandatory permit from the Motor Vehicle and Maritime Authority (MFV). The minister warned that the government would take enforcement action if the illegal rentals continued.

Penalty order

On June 29, the government followed up by imposing a penalty order (last onder dwangsom). Under the order, the government may impose a fine of Afl. 500 for every e-step, e-bike or e-scooter that continues to be offered for rent without a permit after a 15-day grace period. Evikes and Friendly Green Bikes asked the court to suspend the enforcement order for more than six months. They argued that if the government began collecting the fines, their businesses would suffer such severe financial losses that they would be unable to meet their monthly expenses. The government responded that the companies themselves had previously submitted financial figures showing their income and operating costs. According to the government, those figures demonstrate that the companies have sufficient revenue to continue paying their monthly expenses for several months while the legal proceedings continue. During today's hearing, the judge stated that the companies have not yet demonstrated that complying with the enforcement order would place them in serious financial hardship. Had the judge ruled immediately, the request to suspend the order would most likely have been denied.

More time

Instead, the judge decided to postpone a final ruling. The companies have been given 14 additional days to submit further evidence supporting their claim that the government's enforcement measure would create financial hardship. The government will then have an opportunity to respond before the court issues its final judgment.

In the meantime, the judge acknowledged that the court cannot legally prevent the government from enforcing the penalty order. However, the judge requested that, under a "gentlemen's agreement," the government refrain from imposing the fines until the final ruling has been issued.