The Quebec government will suspend the implementation of an anti-Uber bill for 90 days in order to have more time to negotiate with the ride-hailing company.
Transport Minister Jacques Daoust said Tuesday the suspension gives company representatives time to come up with a pilot project that satisfies the government and which would allow Uber to operate legally in the province.
The Quebec taxi industry lobby said it was a "satisfactory compromise," but still demanded Uber stop all its operations in the province until an agreement on the pilot project can be reached with the government.
In response, taxi drivers said they were ready to cancel all planned protests during the Canadian Grand Prix weekend in Montreal.
Daoust said he still wanted his anti-Uber bill passed by Friday, but his amendment would delay the bill's implementation by three months.
The bill would force Uber drivers to obtain taxi permits and licences in order to operate, something the company said would force it to leave Quebec.
"Uber is maybe the way of the future," Daoust told reporters. "But at the end of the day they have to be respectful of Quebec."