By Lookout Staff

December 23, 2010 -- A judge temporarily put the brakes on Santa Monica's new taxi franchising system Wednesday after Armenian American cabbies filed a lawsuit charging it was discriminatory.

The restraining order issued by Robert O'Brien blocks the plan approved by the City Council last month until January 7, when Santa Monica attorneys must to show why the court should not grant the preliminary injunction.

In the suit, the Taxi Drivers Association of Santa Monica charges that the law -- which curbs the number of cabs operating in the beachside city -- discriminates against the five Armenian American-owned or operated cab companies and 300 drivers it represents.

Although six of the applicants were Armenian-owned or operated companies, none was among the five approved for local franchises at a four-hour City Council hearing November 9.

At the meeting, Serouj Aprahamian, the executive director of the Armenian Youth Federation, and Armenian activist attorney Nora Hovsepian made allegations of possible racial discrimination.

The franchise system, which was created to reduce the high number of cabs in Santa Monica along with the pollution and other problems it creates, was scheduled to go into effect next month.

Those not selected for franchises said this would mean jobs lost and company bankruptcy.

Some 100 cab drivers worried they would not have jobs in the New Year showed up at the court hearing Tuesday.