The Supreme Court of India, in a judgment dated November 4, 2025, has held that an “approved scheme” for a notified intra-State route under Chapter VI of the Motor Vehicles Act, 1988, overrides the provisions of an inter-State reciprocal transport (IS-RT) agreement made under Section 88 (Chapter V) of the same Act.

A bench of Justice Dipankar Datta and Justice Augustine George Masih allowed a batch of appeals filed by the U.P. State Road Transport Corporation (UPSRTC), thereby setting aside orders from the High Court of Madhya Pradesh. The High Court had directed the State of Uttar Pradesh to countersign inter-State permits for private operators on routes that overlapped with notified routes operated exclusively by UPSRTC.

Background of the Case

The lead appeal, U.P. State Road Trans

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