Which of the following statements is true regarding the operation of FHV?

The operation of a For-Hire Vehicle (FHV) is governed by specific regulations. The statement indicating that only pre-arranged pickups are allowed is correct because FHVs are designed to operate based on prior arrangements made by passengers. This means drivers cannot accept passengers who hail them on the street or engage in non-pre-arranged pickups, differentiating them from yellow cabs, which can respond to street hails.

Understanding this principle is critical for compliance with local laws and regulations governing FHVs. It ensures that drivers maintain operational standards that prioritize safety and regulatory adherence while also necessitating that passengers use apps or call services to book their rides in advance.