A federal appeals court on Tuesday said New York City can ban advertising inside vehicles for companies such as Uber and Lyft.

Reversing a lower court ruling, the 2nd U.S. Circuit Court of Appeals in Manhattan said the ban did not violate the First Amendment of the U.S. Constitution.

Vugo Inc, a Minnesota-based technology company that places digital content inside ride-sharing vehicles, had sued New York City in 2015 over the ban, which it said violated its free speech rights.

In Tuesday's 3-0 decision, Chief Judge Robert Katzmann said passengers find ads inside ride-sharing vehicles "annoying," and the ban was a reasonable means to advance the city's interest in "improving the overall passenger experience."

Neither a lawyer for Vugo nor the company immediately respond to requests for comment. The city's law department had no immediate comment.

The case is Vugo Inc v City of New York, 2nd U.S. Circuit Court of Appeals, No. 18-807.