operator's licence
📖 What is operator's licence? Meaning and definition
This licence is crucial for businesses involved in transport, as it permits them to legally run their operations. The Upper Tribunal handles appeals related to decisions made by Traffic Commissioners concerning these licences, such as revocations or suspensions. For instance, a licence might be suspended for a period, giving the operator time to rectify issues, or it could be revoked entirely if serious problems persist or conditions are not met.
Non-payment of fees can lead to the automatic termination of an operator's licence. However, a Traffic Commissioner has the power to disregard such termination if they consider there to be exceptional circumstances that justify doing so. This power can be exercised by the Commissioner on their own initiative, without a specific request from the operator.
Issues such as the employment status of drivers can significantly impact an operator's licence. For example, if a company uses 'self-employed' HGV drivers who do not hold their own operator's licence, this can be a factor in problems that arise and may lead to the suspension or revocation of the company's licence. Operators are expected to adhere to rules regarding drivers' hours and working time, and a failure to do so can result in enforcement action against their licence.
📋 Requirements
- Payment of all required fees or instalments by the prescribed time.
- Adherence to rules on drivers' hours and working time.
- Employing drivers on a PAYE basis, unless drivers hold their own operator's licence.
- Maintaining good repute as an operator.
📝 Procedure
- A Traffic Commissioner makes a decision regarding the licence, such as suspension or revocation.
- If a fee is not paid, the licence terminates automatically.
- The Traffic Commissioner may direct that the effect of non-payment be disregarded in exceptional circumstances.
- An operator can appeal a decision of the Traffic Commissioner to the Upper Tribunal.
💡 Examples
- A transport company's operator's licence was suspended for 28 days to allow them to recruit drivers on an employed basis and improve their systems.
- An operator's licence automatically terminated because the continuation fee was not paid by the due date.
- The Upper Tribunal allowed an appeal against a licence revocation, indicating that the initial decision might have overlooked exceptional circumstances.
- A company faced potential licence revocation if it did not commit to employing drivers on a PAYE basis from a specified date, due to concerns about managing 'self-employed' drivers.
📚 Legal basis
- Section 27(1)(a) of the 1995 Act
- Section 45
❓ Frequently asked questions
What happens if I don't pay the fee for my operator's licence?
If any fee or instalment for the continuation of an operator's licence is not paid by the due time, the licence automatically terminates at that point.
Can a Traffic Commissioner reverse a licence termination due to unpaid fees?
Yes, a Traffic Commissioner can direct that the effect of non-payment be disregarded if they consider there to be exceptional circumstances that justify doing so.
Do I need to ask the Traffic Commissioner to consider exceptional circumstances for my licence?
No, the Traffic Commissioner is at liberty to consider exceptional circumstances and make a direction on their own motion, without a specific request from the operator.
How does driver employment status affect an operator's licence?
Using 'self-employed' HGV drivers who do not hold their own operator's licence can be a factor in operational problems and may lead to suspension or revocation of your company's licence.
What can I do if my operator's licence is revoked?
You can appeal the decision of the Traffic Commissioner to the Upper Tribunal, as seen in cases where appeals against licence revocations have been allowed.
What does 'good repute' mean for an operator's licence?
Maintaining 'good repute' involves adhering to rules, such as those on drivers' hours and working time, and ensuring proper management of operations, including driver employment practices.