A German court has ordered Uber to stop the low cost service in the country, and violation of which could lead to $330,000 in finesand up to six months of jail for local employees.
UberPop claims to connect drivers to potential customers via its app and this could give an unfair advantage to Uber over local taxi drivers.
Most ride sharing services like Uber use unlicensed drivers, as it allows people who have passed the background check to be the taxi drivers.
In Germany, unlicensed drivers are not allowed to charge more than the cost of the actual journey, but Uber suggests a indicative fare over its app which is a violation of its law, and it also takes a share from the fare.
Despite the ban an Uber spokesperson said: "Uber will continue its operations and will offer Uberpop ridesharing services via its app throughout Germany."
For now Uber is planning to appeal the ruling and request the court to remove the temporary injunction until the appeal is heard, which means the ban might just last for a few days.