Bike taxi row: Uber, Ola halt in Karnataka, Rapido continues service

This comes after the Karnataka High Court bench clarified that it has not passed any order allowing bike taxi services in the state

Days after resuming bike-taxi services in India's tech capital Bengaluru, Uber and Ola have again paused their operations, after the Karnataka High Court clarified that it hasn't passed any order allowing the same. Rapido, however, continues to provide the services under the name 'Bike Direct', reported Moneycontrol.

 

To ride, or not

 

The Karnataka High Court slammed the state government on August 20, questioning its ban on bike-taxis.

 

A bench, led by Chief Justice Vibhu Bakhru, said the state cannot deny livelihoods by citing the absence of a formal policy.

 

“Here, you have not consciously prohibited taxis altogether, but have barred one type of taxi. That requires justification. A non-policy that results in prohibition can be arbitrary," the court said, adding that mere lack of regulation cannot be the basis for a blanket ban that deprives thousands of their right to work under Article 19(1)(g) of the Constitution 

 

 

The court further posted the matter on September 22, giving the government time to decide whether it intended to frame a policy on bike taxis, reported PTI.

 

Following the observations of the court, Rapido, Ola, and Uber resumed their services in Karnataka, bringing relief to many riders and ride-hailers.

 

Noting this, Advocate General Shashikiran Shetty, appearing for the state, informed the court about the same on August 22.

 

The bench clarified that it has not passed any order allowing the same. "If they have started their business, you can take whatever action you want," it said.

 

It added that its previous concern was solely about safeguarding riders and vehicle owners from unnecessary hardship. It also reiterated its earlier directions, urging the state not to harass individual owners.

 

Background

 

Earlier this year, a single-judge bench ruled that bike taxi services could not operate without the state first issuing guidelines under Section 93 of the Motor Vehicles Act, along with the applicable rules. The judgment also stated that the government could not be forced to process applications for aggregator licences.