KATHMANDU, Jan 1: The Supreme Court (SC) has ordered the regulation of ride-sharing services as it is directly linked to entrepreneurship and employment.
The SC ruled that ride-sharing services should be viewed in relation to the right to employment, consumer rights, entrepreneurship, and economic prosperity.
It further stated that obstructing ride-sharing services under the pretext of a lack of laws negatively impacts private vehicle drivers, who rely on passenger transport for their daily livelihood. Such actions, the SC found, infringe upon their rights to live with dignity, employment, labor, and consumer protection.
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The SC recently released the full text of the ruling by then Chief Justice Bishwoambhar Prasad Shrestha and Tek Prasad Dhungana, which dismissed the writ filed by lawyer Shyam Kumar Shrestha against Pathao on June 27, 2024.
Recalling that the government classified ride-sharing services as a service-based industry in the schedule of the Industrial Enterprises Act, the SC has issued a directive order to establish clear and sufficient legal grounds for regulating its registration, licensing, and regulation of such services.
The SC also directed the Department of Industry and the Department of Transport Management to continuously monitor ride-sharing services, including those operated through mobile applications like Pathao Nepal, to ensure they adhere to the specified terms for providing application operation support services.
The ruling mentions that ride-sharing has improved competition and service quality in the transportation sector, making it a convenient, accessible, and increasingly popular choice among consumers.
