Ola, Uber, other aggregators have to apply for license by March 16 to ply in Maharashtra: Bombay High Court

The Bombay High Court on Monday directed Ola, Uber and other cab aggregators to apply for a license from the Maharashtra government under the Motor Vehicles (Amendment) Act (Act) and Motor Vehicle Aggregators Guidelines of 2020 (Guidelines) before March 16 this year. [Savina Crasto v. State of Maharashtra & Ors.].A Bench of Chief Justice Dipankar Datta and Justice Vinay Joshi directed the Maharashtra government to empower all regional transport authorities across the State to be the licensing authority for grant of such licenses.The High Court directed that the Motor Accidents Claims Tribunal (MACT) be the appellate authority for such matters..The Bench allowed all aggregators to apply for licenses by March 16, 2022, without singling out taxis like Olacabs and Uber.“Earnest endeavour shall be made by considering such applications as earliest as possible but not later than fortnight from date of receipt,” the High Court held.The Bench clarified that if and once license is rejected, then an appeal can be filed before the appellate authority and in the meantime, such applying aggregators shall not be permitted to carry on further activities in the State..The High Court was hearing a public interest litigation (PIL) petition filed by one Savina Crasto against transport aggregators, alleging lack of a consumer grievance-redressal mechanism to resolve complaints against Uber.The Bench was informed during an earlier hearing that the taxi aggregators were required to obtain licenses and conditions prescribed under the Act and Guidelines.The Maharashtra government stated that the draft rules had been framed on the basis of the guidelines known as the Maharashtra Regulation of Aggregator Rules, however the same is pending approval from authorities.The State clarified that till their rules are not issued, the aggregators would be governed by guidelines of the Central government, and they are required to act in accordance with those guidelines.The High Court observed that despite so, the State had permitted Uber to ply taxis in the State without the requisite licenses..Uber submitted through Senior Advocate Janak Dwarkadas had raised objections to the Central guidelines of 2020 while attending a meeting with the Joint Secretary of the Union Ministry of Road Transport and Highways.Since no final decision had been taken on the objection till date, the aggregators did not apply for a license, Dwarkadas submitted..The High Court could not agree with Uber's submissions.“Once it is a statutory mandate for an aggregator to get licence, it could be inappropriate for the State to allow such persons as aggregators,” the Bench held.The High Court also held that till the time the rules are under consideration and yet to be finalised, guidelines by the Central government would subsist and be binding on the aggregators..Uber India had recently told the High Court through an affidavit that around 3.5 lakh cab drivers use their app a week in the State of Maharashtra, and each of them earn ₹7,500 to ₹15,000 a week through rides booked through the app.Conscious that making an order restraining Uber would prejudice and cause detriment to the passengers of the company, the High Court instead deemed it fit to grant an opportunity to the company to apply for a license..The #BombaySeniors: In Conversation with Janak Dwarkadas [Part I].[Read order]