Uber, Ola Will Be Banned In Maharashtra If They Don’t Get License Before This Date; Court Slams Ola, Uber For Not Getting License

The Bombay High Court on Monday directed cab aggregators like Uber India to apply by 16th March for license to ply cabs under the Motor Vehicles Aggregators Guidelines, 2020.

The court has asked the state authorities to decide the application within 15 days from the date of receipt. The bench stated that the Centre’s rules will be applied until the Maharashtra Regulation of Aggregator Rules, 2021, come into effect as they are currently pending approval. 

“How are they (operators) plying without a license? That is complete lawlessness… These officers have turned a blind eye and are not seeing whether operators have licenses? That is why we are facing so many problems,” the bench remarked.

The bench, in view of “public interest”, however, has not restrained the aggregators from plying the cabs until the process of issuing a license is complete. The bench also said that if an aggregator agrees with all the guidelines, the issuance of license will not be delayed.

The court has stated that the government should release a notification by March 9 to authorize all Regional Transport Authorities (RTAs) in Maharashtra as licensing authorities. The court also added that the Motor Accidents Claims Tribunal (MACT) could function as the appellate authority. 

The bench

A division bench of Chief Justice Dipankar Datta and Justice Vinay G Joshi heard a PIL filed by advocate Savina Crasto, who had raised grievances regarding the “complex and ineffective” redressal mechanism provided by an app-based cab aggregator.

The state government observed that the Maharashtra City Taxi Rules, a regulatory policy, was formulated in 2017. It had been challenged in the high court and a status quo was ordered by the court. The policy has been in suspension since then.

The state stated in its affidavit that no application has been made by cab aggregator service Uber India to obtain a license. Also, an application is received before the 2021 state rules come into effect, the cab aggregators will have to comply with the rules of the Union government.

Senior advocate for Uber India Janak Dwarkadas submitted that the respondents in a meeting held on March 5, 2021, chaired by the joint secretary of the Union Ministry of Road Transport and Highways, raised objections to the guidelines. But, since there has been no final decision on such objections, the respondent has not applied for license under the 2020 guidelines.