Uber's being banned in East Hampton has to do with the fact that the town requires the business and its drivers to have physical addresses, Uber's New York general manager, Josh Mohrer, said on Friday.
Larry Cantwell, East Hampton's supervisor, banned Uber, which prompted the shutdown.
Uber users received an email from the company on June 5 explaining the shutdown.
"It's not just about Uber having the office," said Mohrer during CNBC's "Squawk Alley." "It's that every single individual driver also has to have an address in East Hampton, with a shingle and everything."
"We were licensed for two years, and they changed the law and made it harder."
Cantwell said Uber was contributing to traffic as well as safety issues increases during a Friday interview with CNBC's "Squawk on the Street."
"In East Hampton, people take their quality of life very seriously," said Cantwell.
"And on weekends, we have hundreds and hundreds of cabs descending on places like downtown Montauk, creating traffic and parking problems. We have cab drivers from outside the area who are sleeping in their cars and creating public safety issues."
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