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The presentation contains :

CONTENTS

• LEGISLATIONS FOR ROAD TRANSPORT

• ACTS AND LAWS IN INDIA

• THE CARRIAGE BY ROAD ACT,2007

• THE MOTOR VEHICLES ACT, 1988

• THE ROAD TRANSPORT CORPORATIONS ACT, 1950

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• The legislations regarding road transport and highways in India can be sub-divided
among two heads :

• LEGISLATIONS FOR ROAD

TRANSPORT
MINISTRY OF ROAD
TRANSPORT AND HIGHWAYS
• ACTS AND LAWS IN INDIA

• THE CARRIAGE BY ROAD

ACT,2007

• THE MOTOR VEHICLES ACT,

1988
ROADS WING TRANSPORT WING

• THE ROAD TRANSPORT

CORPORATIONS ACT, 1950

• Development and Maintenance • Matters relating to road transport

of National Highways in the country including motor vehicle legislation

• Legislations that deal with various

aspects of motor vehicles

Source : An Introduction to Motor Vehicles Act – slideshare

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• There are specific vehicle laws in India pertaining to specific aspects

regarding vehicles :

• LEGISLATIONS FOR ROAD • The Carriage by Road Act, 2007

TRANSPORT
• The Motor Vehicles Act, 1988
• ACTS AND LAWS IN INDIA
• The National Highways Act, 1956

• THE CARRIAGE BY ROAD • The National Highways Authority of India Act, 1988
ACT,2007
• The Control of National Highways (Land and Traffic) Act, 2002

• THE MOTOR VEHICLES ACT, • The Multimodal Transportation of Goods Act, 1993
1988
• The Motor Transport Workers Act, 1961
• THE ROAD TRANSPORT
CORPORATIONS ACT, 1950 • The Public Liability Insurance Act, 1961

• The Road Transport Corporations Act, 1950

• The Fatal Accidents Act, 1855

Source : An Introduction to Motor Vehicles Act – slideshare

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 THE CARRIAGE BY ROAD ACT, 2007:

• LEGISLATIONS FOR ROAD  OBJECTIVES OF THE ACT
TRANSPORT
 To regulate and limit the liability of regular carriers
ACTS AND LAWS IN INDIA  To provide for registration of common carriers

 To regulate carriage of hazardous and dangerous goods

THE CARRIAGE BY ROAD
ACT,2007
 PURPOSE OF THE ACT

THE MOTOR VEHICLES ACT,  To determine their liability for loss of the goods
1988
 To determine their liability to damage to goods due to negligence or any criminal acts

 REPEAL
THE ROAD TRANSPORT
CORPORATIONS ACT, 1950  This act is a repealed version of The Carrier’s Act, 1865 which states Common Carriers will not be
held responsible for either loss or damage to property having value of more than 100 rupees

 Criminal acts of the Common carriers or their agents will entail their liabilities to the Owner.

 AMENDMENT

 The common carrier shall carry harmful or hazardous commodities only after complying with
the safety measures prescribed under the enactment.

 But the common carrier shall not be held liable for the losses arising due to act of God,
disturbances or disorders, war, arrest or any other legal process, ban imposed by the Central
government etc.

Source : The Gazette of India – The Carriage by Road Act – PDF, lawyerslaw.org
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ITEM DESCRIPTION
• LEGISLATIONS FOR ROAD
OBJECTIVES The Act clearly lays out definitions for kinds of vehicles and their intended uses along
TRANSPORT with specific forms of registrations/permits to be granted to vehicles, which in turn, are
used for licensing purposes by states.
• ACTS AND LAWS IN INDIA
The Act also lays down specific requirements to be fulfilled under each registration/
permit.
REGULATION Two levels
• THE CARRIAGE BY ROAD
ACT,2007 The Central - governs the kinds of registrations and permits that may be granted in
relation to the intended use of the vehicle.
• THE MOTOR VEHICLES ACT, State Levels- governs the grant of permits to vehicles as per the Central Government
and also creates licenses for operation.
1988
Permits Licenses
• THE ROAD TRANSPORT
CORPORATIONS ACT, 1950 • A Permit is granted by a state or regional • A Operator’s License is not the same as
transport authority permitting use of a a Permit. Licenses are granted to an
vehicle as a transport vehicle. operator to CONDUCT A BUSINESS OR
OPERATE A VEHICLE
• MOTOR VEHICLES ACT, 1988 • Granted based on the INTENDED USE of • Operators must still obtain permits for
• Transportation in India is primarily a motor vehicle vehicles to be used commercially
governed by the Motor Vehicles Act, otherwise it is illegal for them to do so.
1988. CLASSIFICATION Transport Vehicles Non – Transport Vehicles
The Central Motor Vehicles Rules, 1989 Transport Vehicle includes a Public Service Relates specifically to personal use.
and various state rules.
Vehicle, a goods carriage vehicle, a private
Exception service vehicle or educational institution
Rent a MotorCab/Rent a Motorcycle bus
Schemes –License created by central • A Non – Transport Vehicle may not be
and granted by state • A transport vehicle is a vehicle used for used as a Transport Vehicle, i.e., for a
carriage of passengers and goods. commercial purposes.

Source : An Introduction to Motor Vehicles Act – slideshare, lawyerslaw.org, The Motor Vehicles Act, 1988 - PDF
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ITEM DESCRIPTION
“CLASSIFICATION Public Service Vehicle
A Public Service Vehicle is a Motor Vehicle
adapted for the use of carriage of
• LEGISLATIONS FOR ROAD passengers.
TRANSPORT
• Public Service Vehicles are generally
engaged for Hire/Reward.
• ACTS AND LAWS IN INDIA
• Includes maxi cab, motor cab, contract
carriage and stage carriage.
Private Service Vehicle
• A Private Service Vehicle is a motor
vehicle adapted for carriage of more than
6 passengers utilized by/ on behalf of the
owner for carriage of persons for or in
connection with his trade.
• A Private Service Vehicle cannot be
engaged for hire/reward and cannot be
engaged for public purposes

• THE CARRIAGE BY ROAD Motor cab Maxi Cab

ACT,2007 • A Motor Cab is a Motor Vehicle • A Maxi Cab is a motor vehicle

constructed/ adapted to carry not more constructed/ adapted to carry between 6 –
• THE MOTOR VEHICLES ACT, than 6 passengers excluding driver. 12 passengers.
• Motor Cab is generally engaged for hire • A Maxi Cab is also generally engaged for
1988 or reward. hire or reward.
MOTOR CYCLES UNDER THE ACT
• THE ROAD TRANSPORT • A Motor Cycle is defined under the Act to mean a two – wheeled Motor Vehicle.
CORPORATIONS ACT, 1950 • To be classified as a Motor Cab if the intended use is commercial.
• Motor Cycles would hence qualify for grant of individual contract carriage permits.

RENT A MOTOR CYCLE SCHEME

• introduced in 1997 by Central Government.
• The Rent a Motor Cycle Scheme grants licenses to operators and further provides for
the grant of contract carriage permits to motor cycles operating under a Rent
• These, however, cannot be utilised as bike taxis for point to point pick ups and drop
offs.
They are meant for an individual’s own use and must either by driven by the individual or
a driver appointed by him.
Ex. Haryana has issued an order for the grant of individual contract carriage permits to
motor cycles

Source : An Introduction to Motor Vehicles Act – slideshare, lawyerslaw.org, The Motor Vehicles Act, 1988 - PDF
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CONTRACT CARRIAGE GOODS CARRIAGE

STAGE CARRIAGE TOURIST Vehicle

Source : An Introduction to Motor Vehicles Act – slideshare, lawyerslaw.org, The Motor Vehicles Act, 1988 - PDF
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INSURANCE UNDER THE ACT

• The Act requires that any motor vehicle being used in a public place in India be covered by an
Insurance Policy in accordance with the Act.
• LEGISLATIONS FOR ROAD
TRANSPORT
• Motor Vehicles are required to obtain insurance coverage at minimum for liability for death, bodily
• ACTS AND LAWS IN INDIA harm, harm to goods, injury to third parties, damage to property of a third party.

• However, the Act requires Commercial Vehicles to also obtain coverage for death or bodily injuries to
passengers in addition to the above.
• THE CARRIAGE BY ROAD
ACT,2007 • Insurance coverage for commercial vehicles may also include insurance coverage for workman’s
compensation.
• THE MOTOR VEHICLES
ACT, 1988  Insurers generally distinguish between insurance coverage for private vehicles and commercial
vehicles.
WHAT IS PEER TO PEER RIDESHARING ?
• THE ROAD TRANSPORT
CORPORATIONS ACT,
• The concept of sharing a vehicle permitted solely for
1950
private use for a trip by splitting travel costs such as fuel
and toll is known as ridesharing.

• Passengers are generally picked up and dropped off on the

way depending on routes and schedules.

• In essence, is the commercial utilisation of a transportation

asset, whether commercially licensed or otherwise.

Source : An Introduction to Motor Vehicles Act – slideshare, lawyerslaw.org, The Motor Vehicles Act, 1988 - PDF
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UNDER EXISTING LAWS, PEER TO PEER RIDESHARING IS UNREGULATED AND HENCE DEEMED ILLEGAL
IN INDIA.

• Transport authorities generally view it as a violation of the permit granted to a vehicle since it is a
• LEGISLATIONS FOR ROAD private vehicle being utilised for commercial purposes without having obtained requisite permissions
TRANSPORT from the transport authorities.

• ACTS AND LAWS IN INDIA • Other than a violation of permits, State Governments as well as the Central Government are reluctant
to provide legitimacy to the idea since it poses an enforcement issue.

• THE CARRIAGE BY ROAD • Another concern is a drastic alteration to insurance requirements. Since private vehicles do not
possess the same insurance coverage that a commercial vehicle does, harm to passengers is a major
ACT,2007
concern

• THE MOTOR VEHICLES

ACT, 1988
COULD THE REGULATORY ENVIRONMENT CHANGE
• THE ROAD TRANSPORT
• Governments are slowly waking up to environmental, congestion and traffic concerns plaguing cities
CORPORATIONS ACT,
in India.
1950
• Now, if ever, is the best time to push for Governments to seriously consider allowing peer to peer
ridesharing as a means of combating environmental, health, infrastructure and traffic concerns.

• In fact, a change in mindset could take place, in view of the Motor Vehicles (Amendment) Bill, 2016,
recently introduced in Parliament.

• The Bill specifically allows state governments to formulate policies that help in reduction of traffic
congestion, increasing last mile connectivity, improvement of urban transport, promotion of energy
conservation and better utilisation of transport assets.

Source : An Introduction to Motor Vehicles Act – slideshare, lawyerslaw.org, The Motor Vehicles Act, 1988 - PDF
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 THE ROAD TRANSPORT CORPORATIONS ACT, 1950:

 OBJECTIVES OF THE ACT

 To make provisions for incorporation and regulation of Road Transport Corporation.

• LEGISLATIONS FOR ROAD
TRANSPORT  To establishment of Road Transport Corporation in the States by the concerned State
Governments.
• ACTS AND LAWS IN INDIA

 PURPOSE OF THE ACT

• THE CARRIAGE BY ROAD
ACT,2007  State Governments should consider certain thing including advantages offered to the public,
trade and industry
• THE MOTOR VEHICLES ACT,  By developing Road Transport, desirability of co-ordination among Road transport of several
1988 form

 Extending and improving Road transport facility in any area and of providing efficient and
• THE ROAD TRANSPORT economical system of Road transport service.
CORPORATIONS ACT, 1950

 CONSEQUENCES OF THE ACT ON CORPORATION AND ROAD TRANSPORT CORPORATION

 The Act deals with powers of the Road Transport Corporation where, operating Road
Transport services in the State concerned, providing ancillary service, providing suitable
conditions of service.

Source : Road Transport Corporations Act, 1950 – PDF, lawyerslaw.org