Karnataka HC lifts bike taxi ban on Rapido, Ola and Uber

The Karnataka High Court on Friday set aside the state government’s ban on bike taxi operations, enabling ride-hailing platforms such as Rapido, Ola and Uber to seek permission to restart services.

A division bench led by Chief Justice Vibhu Bakhru and Justice CM Joshi allowed appeals filed by ride-hailing companies and the Bike Taxi Welfare Association. The appeals challenged a single-judge order passed in April 2025, which had directed the suspension of bike taxi services in Karnataka until the state notified a formal policy.

The High Court held that motorcycles fall within the scope of “transport vehicles” under the Motor Vehicles Act, 1988. It said the state government cannot deny or refuse permits to such vehicles on the ground that motorcycles do not qualify as transport vehicles.

The bench said bike taxi operators and individual vehicle owners may apply to transport authorities for registration of motorcycles as transport vehicles and for contract carriage permits. It said the state government may examine such applications and impose conditions, but permits cannot be rejected solely because the vehicle is a motorcycle.

The court referred to the fact that bike taxi services operate in several states and said the activity is protected under Article 19(1)(g) of the Constitution. It also referred to the Central Motor Vehicle Aggregator Guidelines, 2025, which allow bike taxi operations subject to approval by state governments.

The Karnataka government imposed the ban in March 2024. The restriction came into effect on June 16 last year, citing policy gaps, safety concerns and the absence of an approved framework.