Recently, there has been a persistent issue of taxi drivers overcharging foreign passengers around Incheon International Airport, particularly those unfamiliar with local directions and the Korean language.
According to the "2023 Taxi Complaints Report" released by the Seoul Metropolitan Government, there were 3,783 cases of overcharging last year. While this represents a decrease of about 300 cases from the previous year, the problem still remains widespread.
One such case involved a taxi driver, Mr. A, who was operating a personal taxi. In February 2023, he charged a Thai couple 72,300 KRW (~53.79 USD) for a trip from Seoul to Incheon Airport, despite the meter showing a rate of 55,700 KRW (~41.44 USD). He inputted the higher amount into the meter and received 72,000 KRW in cash from the passengers. As a result, in April 2023, the Seoul Metropolitan Government revoked Mr. A's taxi license.
Mr. A filed a lawsuit, claiming that the license revocation was unfair. He argued that the extra money was simply "tips" for helping the passengers load and unload their large travel bags. He contended that the city did not properly investigate the male passenger, and it was unjust to cancel his license over a 9,700 KRW (~7.22 USD) difference.
However, Judge Seo Kyung Min ruled against Mr. A in the lawsuit, which sought to overturn the cancellation of his taxi license. The judge stated that if the extra amount was truly a tip, Mr. A should have entered the correct fare into the meter and accepted the tip separately. The judge noted that the additional 9,700 KRW could not be considered a tip. Furthermore, during the city’s investigation, the Thai passengers confirmed that they had only paid the amount shown on the meter, not a tip.
This incident was not Mr. A's first offense. In April 2022, he was issued a warning for charging passengers for extra toll fees, and later that year, he was caught secretly applying a surcharge, resulting in a 30-day suspension of his license. Due to the "three strikes" rule, which revokes a taxi driver's license for a year if found overcharging three times, Mr. A's license was canceled.
Judge Seo emphasized, "Mr. A was caught overcharging foreign passengers on three occasions within less than a year. The public interest in regulating taxi overcharging to ensure the convenience of foreign visitors and boost social trust outweighs Mr. A's loss."
Under Article 16 of the Taxi Development Act, taxi drivers who charge unfair fares can receive warnings, suspensions, or even lose their licenses, depending on how many times they've violated the law. Illegal actions like overcharging or adding unauthorized fees can result in fines or penalties under the Taxi Transport Business Act and the Passenger Transport Service Act.
In response to the growing number of overcharging cases, the Seoul Metropolitan Government has stepped up enforcement. Officials are focusing on Incheon International Airport, where these incidents are common, and are expanding crackdowns to popular tourist spots like Myeongdong, Seoul Station, and Itaewon as South Korea sees an increase in tourism.
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