CALGARY – The City of Calgary and Uber announced Friday they have resolved their differences and are working together to find a way for the private for-hire service to function legally.

Both organizations issued statements at 9 a.m. MT suggesting a working relationship had been restored.

“Today, the City of Calgary and Uber agreed to continue working together on a regulatory framework that will allow for transportation network companies and private-for-hire vehicle service in Calgary,” said the City of Calgary.

As part of their new mutual understanding, Uber will continue to suspend its operations while a temporary injunction remains in place against its drivers – but the City of Calgary will no longer seek to have the injunction made permanent.

A judge approved the city’s injunction against Uber drivers on Nov. 20. It was set to be debated in a hearing on Dec. 17, at which time the city had planned to argue it should be put in place permanently.

Story continues below advertisement

“While we were disappointed by the city’s decision to seek legal action, we are encouraged by council’s recent positive steps to bring forward a new regulatory framework, and have developed a positive working relationship with the city,” said Uber’s general manager for Alberta, Ramit Kar, in a news release.

“I have always supported innovation and improvement to Calgary’s taxi system,” Mayor Naheed Nenshi said. “This requires that all players—including The City and Uber—work together so we can ensure that this new transportation service is safe and reliable for Calgarians.”

“Although I was disappointed that Uber decided to launch before there was a provincially approved insurance product in place and before council had approved new regulations for this emerging industry, I am pleased that we are now working together to bring another transportation option to Calgarians,” he added.

Uber said Friday it is now focusing on the upcoming review of bylaw amendments by city council, and will “join with the city in asking the province to embrace new transportation options.”

Council is set to review proposed amendments to the Livery Transport Bylaw no later than Feb. 22.