Renting private vehicles to bike-taxi companies is illegal

Feb 27, 2022 1 min read
Renting private vehicles to bike-taxi companies is illegal

The transport department has warned private vehicle owners not to rent out their cars to bike taxis and car rental companies.

According to officials, it is illegal to use private two-wheelers and cars for commercial purposes. The warning comes as app-based aggregators like Rapido use whiteboard two-wheelers as bike taxis. Similarly, some rental vehicle companies including Zoomcar are using whiteboard cars.

"Recently, several private two-wheelers in Bengaluru illegally carry people with an unauthorized aggregator app," stated Transport Commissioner N Shivakumar in a press note. Owners of two-wheelers should stop using such apps to rent their vehicles."

In addition, some private car owners rent out their vehicles to rental car companies. They should not rent vehicles for commercial purposes. The note said, "We will take strong action against such owners." According to another official, renting out a personal car not registered as a commercial vehicle is illegal under the Motor Vehicle Act.

"Those who want to give their vehicles for rent-a-car services should first register them as self-drive vehicles. Unlike a private whiteboard number plate, given black number plates with yellow fonts," Shivakumar stated. In the case of an accident, he warned, cars operated by someone the owner does not know will not cover by insurance.

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