Ride-hailing Accidents: Who is Liable for Compensation?

Legal Expert’s Analysis:

Under Article 13 of the 2015 Civil Code, when lawful rights and interests are infringed and damages occur, the injured party is entitled to full compensation unless otherwise agreed or provided by law. This means passengers in ride-hailing accidents are also protected and may claim compensation.

However, Article 363 and Clause 4, Article 585 of the Civil Code stipulate that if the injured party contributes to the accident, compensation will be reduced proportionally; if the accident is entirely their fault, no compensation will be awarded. For example, if a passenger suddenly jumps off a moving motorbike and gets injured, the driver or company is not liable.

Determining liability depends on the cause of the accident:

• If caused by another road user (e.g., a reckless driver colliding with a ride-hailing vehicle), that third party must compensate the passenger.

• If caused by the ride-hailing driver, liability depends on the legal relationship between the driver and the company:

  • If the driver works independently and the company merely provides the app platform, then the driver is directly liable.

  • If the driver is an employee of the company (working under labor relations), the company bears liability under Article 597 of the Civil Code on compensation for damages caused by an employee of a legal entity.

👉 In short, passengers are entitled to compensation when injured in a ride-hailing accident. The liable party could be the driver, the company, or a third party—depending on fault and the contractual or labor relationship involved.