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Karnataka High Court lifts bike taxi ban, allows Ola, Uber, Rapido to resume services

Karnataka High Court lifts the ban on bike taxis, allowing Rapido and Uber to resume operations, shifting the focus back to state policy and rules.

January 23, 2026 / 11:44 IST
Division Bench sets aside earlier order banning bike taxis, reopening operations for app-based platforms pending further regulatory clarity.

The Karnataka High Court on Friday revoked the ban on bike taxi services in the state, setting aside earlier orders that had forced app-based two-wheeler operators to suspend operations.

The decision clears the way for aggregators such as Ola, Uber and Rapido to resume bike taxi services, subject to conditions that the state government may impose.

What the court ruled

A Division Bench allowed appeals filed against a single-judge order that had prohibited bike taxis in Karnataka in the absence of specific state rules. By overturning that ruling, the High Court removed the immediate legal barrier on bike taxi operations.

Detailed conditions, if any, are expected to follow from the state government.

Why services were halted

Bike taxi operations came to a standstill in June 2025 after the High Court directed an immediate suspension of services. Following the order, aggregators removed the bike taxi option from their ride-hailing apps across Karnataka.

At the time, Transport Minister Ramalinga Reddy confirmed that platforms were required to comply with the court’s direction. He had said the court had first granted six weeks, followed by another six-week extension, before enforcing the ban.

Earlier, on June 13, a Division Bench led by Acting Chief Justice V Kameswar Rao issued notices to the state government and other respondents on petitions challenging the ban, and sought their replies by June 20. The matter is listed for hearing on June 24.

The legal challenge stems from an April 2 order of a single-judge bench which held that bike taxis cannot operate in Karnataka in the absence of state rules under the Motor Vehicles Act. The court had initially granted a six-week window before the ban took effect, a deadline that was later extended to June 15. Ola and Uber are among the aggregators that have challenged the April 2 order.

(With inputs from PTI)

Moneycontrol News
first published: Jan 23, 2026 11:38 am

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