In absence of statutory provision for license transfer upon licensee's death, courts can grant equitable relief considering justice, good conscience, and the need to balance equities.

ORDER :

Rekha Borana, J.

1. The present writ petition has been preferred against the order dated 23.02.2024 (Annex.12) whereby the application as preferred by the petitioner for transfer of the license issued to her husband, for running the motor driving school, has been rejected.

2. The facts are that a license for running a Motor Driving School (hereinafter referred to as, ‘the School’) was issued to late Shri Fatta Ram, husband of the present petitioner. The said license was time to time renewed and holds valid till the year 2027. Unfortunately, Shri Fatta Ram expired in the year 2023 and the petitioner therefore, vide application dated 30.10.2023, prayed for transfer of the license in her name. However, the said application has been rejected vide the order impugned dated 23.02.2024 on the ground that there is no provision in the Central Motor Vehicles Rules, 1989 (hereinafter referred to as, ‘the Rules of 1989’) or in the Motor Driving School Registration Scheme, 2018 (hereinafter referred to as, ‘the Scheme of 2018’) for transfer of the license.

3. Learned counsel for the petitioner submits that although the license in question was valid upto the year 2027, the respondent- Department directed for closing down of the School only on the premise of death of the licensee i.e. husband of the petitioner. Learned counsel submits that it was not a case of breach of any of the conditions of the license and hence, the license which was valid till the year 2027, could not have been terminated only on the premise that there was no provision prescribing for transfer of license in the name of successor/legal representative of the deceased.

Learned counsel submits that if the successor/legal representative is qualified in terms of the Scheme of 2018, the license ought to have been transferred in name of such successor/legal representative.

4. In support of his submission, learned counsel relied upon a judgment of the Madras High Court in the case of V. Krishnasamy vs. The Licensing Authority-cum-Regional Transport Officer & Anr.; Writ Petition No.29797 of 2008 (decided on 20.01.2009) wherein the Court, in an akin situation, observed that in cases where one of the legal heirs fulfills all the qualifications prescribed under Rule 24 of the Rules of 1989, there cannot be any impediment for the licensing authority to consider the question of transmission. Therein, the Court observed that a blind rejection of the request for transfer or transmission by the Transport Commissioner, cannot be permitted.

5. Learned counsel also relied upon a circular issued by the State of Uttar Pradesh wherein a specific provision for transfer of the license in name of a successor, on the death of the licensee, has been incorporated.

6. Learned counsel, while making the aforesaid submissions, argued that in absence of any specific provision, the Court can suo motu direct for an equitable relief to be granted in favour of the petitioner.

7. Per contra, learned Additional Advocate General appearing on behalf of the State submitted that there being no specific provision for transfer of a license in favour of a successor/legal representative on death of the licensee, no such order could have been passed by the licensing authority and rightly so. Learned AAG submitted that even otherwise, an amendment has been introduced in the Scheme of 2018 and as per the said amendment, the petitioner would be under an obligation to apply fresh and she would be entitled for a license if found eligible in terms of the amended