Karnataka High Court Orders Shutdown Of Bike Taxi Operations Within Six Weeks

The bike taxi aggregators in Karnataka are in deep trouble. Recently, it has been announced by the Karnataka High Court that bike taxi operations in the state have to be stopped. The court has directed the state government and the Karnataka Transport Department to make sure that all bike taxi operations are ceased within six weeks. In addition to this, the court also stated that the government has three months to frame new rules and guidelines for bike taxi operations.
The Karnataka High Court has issued a directive stating that bike taxi aggregators like Rapido, Ola, and Uber are required to shut down their bike taxi operations in the state of Karnataka. It added that the transport department cannot register motorcycles as transport vehicles. Neither can they issue contract carriage permits, which were introduced last year.
Currently, the Karnataka state government has stated that it will be reviewing the certified order of the High Court in detail. It added that no immediate action will be taken by the authorities, as the aggregators of bike taxi services have six weeks to cease operations. It has also been highlighted by the government that it will soon be working on a proper framework with appropriate guidelines for bike taxis.
While commenting on this verdict, a spokesperson from Rapido stated:
The Hon’ble High Court of Karnataka has directed aggregators to cease operations of bike taxis after six weeks and accordingly directed the State Transport Department to not take any adverse action within such time. Karnataka-born Rapido is concerned about the welfare of lakhs of bike-taxi captains onboarded on the platform and will evaluate and pursue appropriate legal remedies once the detailed order is made available.
A little while ago, the authorities in Karnataka started seizing bikes of Rapido riders. In February 2019, a total of 200 bikes were seized. Meanwhile, in January 2022, 120 more bikes were seized by the authorities. Following this, Rapido approached the Karnataka High Court and sought a directive to stop government interference in its business.
It also requested the court to provide permission to register two-wheelers as transport vehicles. Apart from these requests, the Karnataka-based bike taxi aggregator also asked for the issuance of commercial permits under the Motor Vehicles Act, 1988. However, the court did not provide a proper order for the same.
Later, in July 2021, the Karnataka government introduced a new bike taxi scheme. Under this, bike taxis were made legal but only for electric bikes. Following this, in November 2024, the Karnataka High Court reserved its judgment on Rapido's plea. At the same time, the state government argued that white plate bikes violate regulations and lack safety measures.
Presently, there is no clarity on whether bike taxi operations after six weeks will be permanently stopped or not. It is believed that the government could work on a new framework that could help bike taxi operators resume operations in Karnataka. Till then, bike taxi services will be halted in the state after the provided six-week grace period.