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Karnataka High Court Gives Ola, Uber, Rapido Until June 15 to Continue Bike Taxi Services 

Written by: Team Angel OneUpdated on: May 8, 2025, 4:29 PM IST
Karnataka HC has extended the deadline for Ola, Uber, and Rapido to halt bike taxi services to June 15, as policy discussions remain pending. 
Karnataka High Court Gives Ola, Uber, Rapido Until June 15 to Continue Bike Taxi Services 
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The Karnataka High Court has extended the deadline for ride-hailing platforms Ola, Uber, and Rapido to discontinue their bike taxi operations in the state. The companies had requested more time, citing ongoing discussions with the state government about framing a regulatory policy. The extension offers temporary relief as these platforms await an official decision. 

Ride-hailing firms told the court that they have submitted a formal request to the state government, urging it to introduce a policy that would legalise bike taxi operations. Rapido, operated by Roppen Transportation Services, noted that the Chief Secretary held a meeting on April 23, 2025, with stakeholders to discuss this matter. The companies are hopeful that their proposal will be taken up if more time is granted. 

Also Read: Maharashtra’s Aggregator Cabs Policy 2025: Ola, Uber, Rapido Drivers to Compensate for Cancelled Rides, Safety Norms Tightened. 

Livelihood Concerns Drive Appeal for Extension 

The aggregators argued that a sudden halt in operations would severely affect the livelihood of thousands. Rapido alone has approximately 6 lakh registered bike taxi riders in Karnataka, all of whom rely on these services for income. Given the scale of impact, the firms stressed the need for more time to either find alternatives or wait for a formal policy decision. 

State Government Pushes Back 

The Advocate General, representing the state, opposed extending the deadline. While acknowledging that a meeting had taken place, he argued that simply expecting a favourable decision shouldn’t justify continued operations, especially when no formal policy exists. 

Karnataka High Court’s Previous Ruling  

In an earlier ruling on April 2, the High Court said bike taxis could not operate legally without guidelines notified under Section 93 of the Motor Vehicles Act, 1988. Until such rules are officially in place, the Transport Department cannot register bikes for commercial use or issue permits for bike taxi services. 

Conclusion 

The deadline extension until June 15 gives aggregators like Ola, Uber, and Rapido a temporary lifeline as they engage with the government on a regulatory framework. The final call now lies with the Karnataka administration. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing. 

Published on: May 8, 2025, 4:29 PM IST

Team Angel One

Team Angel One is a group of experienced financial writers that deliver insightful articles on the stock market, IPO, economy, personal finance, commodities and related categories.

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