The High Court of Karnataka on Wednesday asked the State authorities not to initiate coercive actions against tourist taxi operators and private technology aggregator, Uber, for any violation of the Karnataka On-Demand Transportation Technology Aggregators (KODTTA) Rules, 2016, until further order.
A Division Bench comprising Chief Justice Subhro Kamal Mukherjee and Justice Budihal R.B. passed the interim order after hearing the appeals filed by Uber India Technologies Pvt. Ltd. and some taxi drivers.
“During pendency of these matters, the authorities shall not take any coercive action against the taxi operators who are plying after obtaining licence under Section 88 (9) of the Motor Vehicles Act and shall not take action against the appellants for violation of the Karnataka On-Demand Transportation Technology Aggregators Rules, 2016,” the Bench said.
The appellants have questioned the November 10, 2016, verdict of a single-judge Bench which had upheld the constitutional validity of the KODTTA Rules though it had barred a few provisions.
Uber’s assurance
Meanwhile, counsel for Uber gave an undertaking to the court that they would not adopt surge pricing during the pendency of their appeal.
The Bench said the appellants could obtain licences under the new rule during the pendency of the appeal but the same would be subject to the outcome of court’s final view on the appeals.
Taxi operators are required more now as the autorickshaw service is affected owing to demonetisation, the Chief Justice remarked orally when a counsel representing the Radio Taxi Operators Association, which is supporting KODTTA Rules, contended that blanket stay order would defeat the purpose of rules. The government counsel too had opposed grant of any interim order in favour of the appellants.
