The High Court has barred matatus plying the South B route from the Central Business District.
The City County Government has been directed to take the necessary steps to ensure matatus adhere to the order.
Justice George Odunga said the county government should abide by legal notice No 37 of 2008, which removed all matatu operators from the CBD and directed them to Katati road terminus near country bus station.
Consequently, a number of Matatu Saccos including Tel Aviv Travellers Sacco, Akil Transport and County Link Sacco Ltd will move their operations to Katati road, the judge ruled.
Justice Odunga restrained matatus from picking and dropping passengers along Gedi Street between Gill house, Agro House and Afya Centre following an application by South B Matatu Owners Sacco.
The Sacco had moved to court accusing the county government, police and National Transport and Safety Authority of allowing their rivals to operate in the city centre while barring them.
The Sacco, whose members operate from Hakati Road Terminus, told court the decision to allow their rivals to operate from the CBD was discriminatory.