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Karnataka HC Order Dated 14.10.2022
Karnataka HC Order Dated 14.10.2022
Karnataka HC Order Dated 14.10.2022
Status: Pending
Case Number: WP 20437/2022 Classification: MV Date of Filing: 13/10/2022
(KAHC010475642022) 15:36:25
Petitioner: UBER INDIA Pet. Advocate: PRADEEP
SYSTEMS PRIVATE LIMITED NAYAK
Respondent: STATE OF Resp. Advocate:
KARNATAKA
Filing No.: WP 19817/2022 Judge: SURAJ GOVINDARAJ
Last Posted For: FURTHER Last Date of Action: Last Action Taken:
HEARING - 4 00 PM 13/04/2023 ADJOURNED
Next Hearing Date:
18/04/2023
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1. Today the matter cannot be taken up. Hence, re-list on 24.03.2023 at 4.00
p.m.
ORDER IN WP NO.24486/2022
1. Heard Dr.Aditya Sondhi, learned Senior Counsel for the petitioner.
2. A memo dated 28.02.2023 containing note on benefits and value-added
services provided by the petitioner/OLA as an aggregator is filed and the same is
taken on record.
3. A memo dated 28.02.2023 enclosing acknowledgment of three
representations submitted by the petitioner to the Commissioner for Transport
and Road Safety is filed and the same are taken on record.
4. A memo dated 28.02.2023 along with citations is filed and the same is taken
on record.
ORDER IN WP NO.24501/2022
5. The learned counsel for the petitioner files a memo containing
acknowledgment. The same is taken on record.
6. For arguments of learned Advocate General, re-list on 09.03.2023 at 2.30 p.m.
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1. The learned counsels for the petitioner submits that they have filed their
respective written submissions.
2. Learned HCGP seeks for three days to file written submissions.
3. Written submission to be filed on or before 06.02.2023 after serving a copy on
all the other counsels.
4. Re-list on 08.02.2023 at 2.30 p.m.
5. In the meanwhile, compliance with the office objections to be made.
6. Interim order granted earlier is extended till the next date of hearing.
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In W.P.No.20437/2022:
ON I.A.No.1/2022
I.A.No.1/2022 has been filed for enhancement of the fare fixed by this Court.
Since, the above matter is being taken up for final hearing, I am of the opinion
that the said application could also be taken up along with final hearing. Hence,
the consideration of the application is deferred.
ORDER ON I.A.No.4/2022
1. The present application has been filed by Bharath Transport Association
Group, claiming to be an organization formed for the welfare of taxi and auto
drivers and seeks to implead itself party respondent.
2. Sri. Amruthesh N.P., learned counsel appearing for the impleading applicants
submits that the interests of the impleading applicants and their members could
be adversely affected by any orders that could be passed in the present matter
and the action impugned against the petitioner is based on one of the
complaints submitted by the impleading applicants.
3. The above matter is being a private interest litigation and not a public interest
litigation, though the impleading applicant may be adversely affected, it cannot
be said that it is a proper and necessary party. However, taking into account, the
scope of the above matter and the effect of the order that could be passed, I am
of the considered opinion that the impleading applicant should be permitted to
assist this Court as an intervener. As such, I.A.No.4/2022 is partly allowed.
4. The impleading applicant is permitted to assist this Court as an intervener.
ON I.A.No.5/2022
1. Learned counsel for the petitioner and learned HCGP confirm the receipt of
I.A.No.5/2022. Hence, office objection does not survive for consideration.
2. I.A.No.5/2022 has been filed by a Jago Karnataka Youth and Women's Welfare
Society seeking for impleadment in the present matter. It is contended that said
society is registered under the Societies Registration Act, 1960 with the main
object of promoting and safeguarding the interest of the women and other
weaker section of the society and that the Society also offers to help the
aspirants of auto rickshaw permits to get permits and that in the event of any
order being passed in the present matter, the interest of the members of the
Society will suffer great injury. I am of the considered opinion that the
impleading applicant can only at the most is said to be remotely connected with
the matter and there is no interest of the impleading applicant or its members
with the said impleading applicant when espouse in the present matter. As such,
I.A.No.5/2022 stands dismissed.
ON I.A.No.6/2022
I.A.No.6/2022 has been filed by one Mr. Sai Datta seeking for impleadment in the
above matter on the ground that he is a public spirited individual and an RTI
Activist and therefore, he has the grievance against the petitioner and similarly
situated operators who according to him are charging indiscriminately at the
whims and fancies. As such, he wishes to oppose the petition filed by the
petitioner. Therefore, I am of the considered opinion that merely because
someone is RTI activist and public spirited individual such a person cannot be
permitted to come on record in a private interest litigation though it may have it
may have some public implication. Hence, I.A.No.6/2022 stands dismissed.
The interim order granted earlier is extended till the next date of hearing.
15 S.G.PANDIT 28/11/2022
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ORDER
Heard the learned Senior Counsels appearing for the petitioners in all the
petitions and the learned Advocate General appearing for the respondent -
State.
Learned Advocate General submits that meeting by the State Government of the
stakeholders to consider their views have progressed substantially and the
decision in that regard is likely to arrived by 25.11.2022.
In view of the said submission, consideration of interlocutory application for
modification of the interim order is deferred till the next date of hearing.
Interim order granted earlier stands extended till the next date of hearing.
Call on 28.11.2022.
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ORDER
Issue raised in these writ petitions being common, they are taken up for
analogous consideration.
2. Learned HCGP is directed to take notice for the respondents in all the matters.
3. Heard Sri Aditya Sondhi, learned Senior Counsel appearing for the petitioners
in W.P.No.20349/2022,
Sri C.K.Nandakumar, learned Senior Counsel appearing for the petitioners in
W.P.No.20347/2022 and Sri Ashok Haranahalli, learned Senior Counsel
appearing for the petitioner in W.P.No.20460/2022 and Sri Prabhuling K.Navdgi,
learned Advocate General for the State.
4. The respondents- State Government issued a notice dated 06.10.2022 to the
petitioners calling upon them to shutdown/stop the autorickshaw services under
aggregator services with immediate effect and further directed not to
receive/collect fare higher than the fare fixed by the Government, on the
premise that Auto-rickshaw do not come within the meaning of 'taxi' as provided
under the Karnataka On-Demand Transport Technology Aggregator Regulations,
2016 (herein after Regulations, 2016) and that the fare fixed and collected by
them was higher than the fare fixed by the Government. Further petitioners
were given three days time to respond to the said notice.
5. Reply to the said notice was issued by the respective petitioners. In response
thereof a meeting was convened on 11.10.2022 in the Office of the Commission
of Transport and Road Safety- the respondent No.2 herein to discuss the
following issues:
(i) Auto-rickshaws are not included in the aggregators license;
the Karnataka Contract Carriages (Acquisition) Act, 1976, one can have the
permit for running a motor cab, which falls within the category of contract
carriage. Therefore, it is necessary to find out whether the reservation made in
the impugned resolution of the R.T.A. in respect of the permits falling in the
category of contract carriage permits is supported by any of the provisions
contained in the Act, as it stood either on the date of the resolution or after the
coming into force of the Motor Vehicles (Amendment) Act, 1978 (Central
Centra Act, 47
of 1978).”
8. Relying upon the aforesaid judgment learned Senior Counsel submitted that
the issue whether the Auto-rickshaw falls within the definition of 'motor cab' or
not is no longer res-interga and that the respondents without referring to this
settled position of law have issued notice and have passed the order which per
se not sustainable.
9. As regards the fare is concerned, learned Senior Counsel submit in unison
that presently there is no provision of law, rule or regulation holding the field.
However, the charges being levied and collected by the aggregators for their
services are just and proper. Besides, they are also paying applicable taxes to
the appropriate Authorities/Departments.
10. One other submission being made is with regard to the proceedings in
W.A.No.4789/2016 with connected matters which are now pending
consideration, wherein the question of constitutionality of the Regulations, 2016
is under consideration. The Division Bench of this Court in the aforesaid Writ
Appeals has passed an interim order in an by which the respondents have been
directed not to take coercive measures. Learned Senior Counsel specifically
pointed out to the order dated 13.12.2016 which reads as follows:
“While transcribing the orders, there are certain mistakes.
The direction recorded in these writ appeals that during the pendency of these
matters, the appellants shall obtain license from the authorities subject to the
result of the writ appeals, was not necessary.
Therefore we delete this portion of the order from the order sheet of these writ
appeals”
11. Thus it is submitted that in view of the aforesaid interim order, the
respondents can neither insist not contend that the aggregators are not entitled
to ply without obtaining the licenses nor do they can take any coercive action,
pursuant to the order impugned in these writ petitions. Lest, it is submitted that
the same would amount to contempt of Court.
12. In response to the aforesaid submissions, learned Advocate General
submits;
(i) particularly referring to the interim order passed in the aforesaid writ appeals,
that the said interim order cannot be read and understood to mean that, the
requirement of obtaining license is completely exempted;
(ii) He submits that the present notice and the order impugned in these petitions
necessitated on account of the public grievance which the State has received;
(iii) That admittedly most of the aggregators are operating without licenses and
these activities cannot be countenanced under any circumstances;
(iv) That the fare being charged by the petitioners/aggregators is high and in
excess to the fare fixed by the State Government in terms of the notification
dated 06.11.2021 which was issued pursuant to the provisions of Section 67 of
the Motor Vehicles Act, 1988 (‘M.V.Act’ for short). He submits that the said fare
fixed by the State should be the base for the petitioners/aggregators to operate
their services.
13. Having heard learned Senior Counsel for the petitioners and learned
Advocate General, this Court had suggested that if consensus could be arrived at
in fixing the fare as the interest of the public at large is involved in the matter.
Accordingly, it is reported that a meeting was indeed convened in which though
no conclusion was arrived at, it is submitted, that the State is open to come out
with fare fixation pursuant to Section 67 of the M.V.Act particularly with regard
to Auto-rickshaws plying on the platform provided by the aggregators within a
period of ten to twelve days. It is further submitted that till such time, the
petitioners/aggregators will have to abide by the fares already notified by the
State in terms of the notification dated 06.11.2021.
14. Learned Senior Counsel for the petitioners submit that, that would cause
huge financial loss to the petitioners, as the services being provided by them
involves huge costs on various heads which may eventually lead to closing down
of their businesses.
15. Heard learned Senior Counsel and learned Advocate General for the parties
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17. In terms of Proviso to sub-Section (1) of Section 93, as noted above the State
Government may follow such Guidelines as and when issued by the Centra Central
Government. The Centra
Central Government has already issued guidelines called 'the
Motor Vehicle Aggregator Guidelines, 2020'. The said Guidelines take into
consideration Auto-rickshaws as well. Guideline No.13 under the heading
“Regulation of fare” provides as under:
“13. Regulation of fares:
(1) The city taxi fare indexed by WPI for the current year shall be the base fare
chargeable to customers availing Aggregator service.
(2) The base minimum fare chargeable to customers availing Aggregator services
shall be, for a minimum of 3 kilometers to compensate for dead mileage and
distance travelled and fuel utilized for picking up the customers.
(3) The Aggregator shall be permitted to charge a fare 50% tower than the base
fare and a maximum Surge pricing of 1 .5 times the base fare specified under
Clause 13(1) hereinabove. This will enable and promote asset utilization which
has been the fundamental concept of transport aggregation and also
substantiate the dynamic pricing principle, which is pertinent in ensuring asset
utilization in accordance with the market forces of demand and supply.
(4) The Driver of a vehicle integrated with the Aggregator shall receive at least
80% of the fare applicable on each ride and the remaining charges for each ride
shall be received by the Aggregator. The State Government may by way of a
notification direct 2% over and above the fare towards the state exchequer for
amenities and programmes related for Aggregator operated vehicles, which
have been helpful in reducing traffic congestion to a great extent and
subsequently reducing pollution. These amenities and programmes may include
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but not be limited to, state sponsored driver welfare programmes, road safety
awareness workshops and activities, pollution control programmes, allotment of
parking spaces in certain proportion of large parking areas for vehicles
integrated with an Aggregator, electric charging infrastructure for electric
vehicles and related matters.
(5) ln states where the city taxi fare has not been determined by the State
Government, an amount of Rs. 25l30 shall be the base fare for the purposes of
fare regulation under this Clause '12. Similar fare fixation shall be done by the
State Government of other vehicles integrated by Aggregators within the
relevant State.
(6) For the purposes of motor cabs, fare regulation under this Clause .12 shall
only be applicable for motor cabs not exceeding 4 meters of length of below
engine capacity of 1500cc diesel or petrol. Fare regulation provided under this
Clause 12 shall not be applicable to electric vehicles.
(7) No passenger shall be charged for dead mileage (except when the distance
for availing the ride is less than 3 kms as mentioned under Clause 13(Z)
hereinabove) and the fare shall be charged only from the point of boarding to
point of alighting.
18. As pointed out by learned Senior Counsel Sri Ashok Haranahalli, Form No.III
[See Clause 3(5)] providing for license for an aggregator, at item No.5 thereof
refers to Auto-rickshaw/e-rickshaw/motor cab/motorcycle or bus. Therefore the
aforesaid Guidelines have taken into consideration the nature of vehicles
including Autorickshaws as well.
19. However, in view of the submission made by learned Advocate General, that
the State Government is open and willing to formulate fare fixation, this Court is
of the view that the Guidelines referred to above will also be adhered to during
the process of fare fixation. However since the said process would take a period
of ten to fifteen days as submitted, in the interregnum, considering the
submissions made by the petitioners as well as the learned Advocate General,
this Court is of the considered view that the petitioners/aggregators be put on
terms.
20. In terms of notification dated 06.11.2021 issued by the Regional Transport
Authority, Bengaluru urban district, Bengaluru Autorickshaw meter fare has
been revised in the limits of Bruhat Bengaluru Mahanagara Palike with effect
from 01.12.2021 which are as under:
1) Minimum Fare for First 2.00 KMs Fare - Rs.30/- (Rs.Thirty Only Three
Passengers
2) Subsequent Each Kilometre Fare - Rs.15/- (Rs.Fifteen only Three Passengers)
3) Waiting Fare
a) First Five Minutes
b) Subsequent of first Five Minutes
For each Fifteen Minutes or part thereof -
-
Free
Rs.5/-
4) Passengers Luggage Fare
a) For first 20 K.G.
b) Subsequently from first 20 KG for each 20 KG or part thereof
c) Maximum Passengers
Luggages for 50 KG -
Free
Rs.5/-
5) Night Time Fare - Normal Fare+Half Times more of Normal Fare
(From night 10-00 upto Early Morning 5-00 o'clock)
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21. The petitioners/aggregators shall follow the fare fixed by the State as per the
notification dated 06.11.2021 extracted herein above with an addition of 10%
and applicable service taxes towards the services rendered by them. This would
meet the ends of justice till the State Government fixes the fare within a period
of fifteen days as mentioned.
22. The present arrangement is made with the consensus of the parties in the
matter for the time being in view of the representation being made by the State.
23. All the contentions to be urged by the parties are left open to be considered
in the main petitions. In view of the above, the respondents or their
representatives shall not take any coercive action till next date of hearing.
24. This Court is given to an assurance by learned Advocate General that all the
stake holders in the matter, including the concerns of the General Public, will be
given an opportunity of being heard with a prior intimation of the date to be
fixed in this regard.
25. The petitioners/aggregators are at liberty to seek issuance and or renewal of
the license in accordance with law in the meanwhile.
26. The petitioner in W.P.No.20460/2022 shall comply with the office objections.
27. Petitioners to file objections if any to the impleading applications by the next
date of hearing.
List all the matters on 07.11.2022.
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