Karnataka Puts Break on Surge Pricing, Orders Ola, Uber to Comply With Rules

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In a major setback to Ola and Uber, and in a relief to customers, the Karnataka High Court has upheld the rules framed by the state govt, which had banned cab-hailing apps from charging anything extra over the base fares to customers, which is a major source of income to these companies.

The ruling comes after Uber had filed a petition in June this year, seeking withdrawal of new rules by the state government, terming it as “anti-constitutional”. The ruling might set a precedence for other states, including Maharashtra, Delhi and West Bengal, to ban surge pricing too, who have framed similar rules to regulate these aggregators.

Written by Shaik Zakeer Hussain

Shaik Zakeer Hussain is a former Sr. Correspondent at NextBigWhat. You can get in touch with him here: linkedin.com/in/shaikzakeerhussain or follow him here: twitter.com/zaknetic.