The High Court in Blantyre has vacated an interlocutory injunction which it granted to National Bus Company restraining government from repossessing bus depots which the company has been managing.
In his ruling, Justice Jabbar Alide said sustaining the injunction would be unmerited.
In the case, the National Bus Service was challenging Ministry of Local Government and Rural Development which intended to take over management of the bus depots.
In court in February, lawyers for the bus company argued that the depots, workshops and all landed property owned by Shire Bus Lines Limited were transferred to National Bus Services after the firm bought Shire Bus Lines.
The bus company also relied on a memorandum of understanding (MoU) which it said government wanted to use to reinvest in Shire Bus Lines.