Section 96: Power of State Government to make rules for the purposes of this Chapter

Motor Vehicles Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1988

Legal Commentary & Landmark Judgments: Section 96

Section 96 of the Motor Vehicles Act, 1988 provides plenary delegated rule-making authority to State Governments to implement the provisions of Chapter V, governing permit application forms, procedural conduct of RTAs and STAs, fee structures, bus stands, and compounding of offences.

  • Plenary Scope for Chapter V Implementation: Empowers the State Government under Section 96(1) to enact comprehensive rules regarding the conduct of business by RTAs and STAs, quorum, hearing procedures, and issuance of permits.
  • Designation and Management of Bus Stands and Halts: Under Section 96(2)(xxi), State Governments frame rules regulating the establishment, fee collection, maintenance, and operational management of public bus stands, cart stands, and vehicle halting places.
  • Compounding Fees and Administrative Mechanics: Governs the prescription of fees for permit applications, renewals, replacements, countersignatures, and the compounding penalty rates leviable under Section 86(5) in lieu of permit suspension.
Key Landmark Precedents:
  • Municipal Board, Pushkar v. State Transport Authority AIR 1965 SC 458: The Supreme Court held that the power to regulate and shift bus stands under rules framed pursuant to Section 96 (and predecessor Section 68 of the 1939 Act) is an administrative-regulatory power designed for public safety and traffic decongestion.
  • State of Haryana v. Bhajan Lal AIR 1993 SC 1348: The Supreme Court reaffirmed that administrative and rule-making discretion granted under transport statutes must be exercised within statutory boundaries and cannot violate fundamental rights under Article 19(1)(g).
Courtroom Practice & Strategic Litigation Guidance:

When contesting an RTA's notification shifting a designated bus stand or halting place to the city outskirts, verify whether the procedure framed under Section 96 rules (including prior public notice and hearing of objections) was observed. Procedural non-compliance under Section 96 rules invalidates the stand relocation order.