A stern letter from lawyers representing Greyhound Canada nixed plans for a student-run, low-cost bus service from London to the GTA during the holidays.

The brainchild of two second-year university students, the “London Rocket” wouldn’t be fancy — passengers would ride school buses, luggage on lap — but it would be cheap, at $18 to $20 one way. It was due to start Dec. 18.

But a Dec. 3 letter from a law firm representing Greyhound warned that only Greyhound is licensed under provincial legislation to provide public scheduled transportation services between London and Toronto.

It ordered London Rocket to stop offering the service, stop selling tickets and to reimburse customers for tickets already purchased. Failing that, it would file an application for a cease-and-desist order from the Ontario Highway Transportation Board, the letter said.

The London Rocket posted a notice on its website that attributed the cancellation of its plans to “a legal dispute initiated by one of our direct competitors.”

“We’re 19-year-old students,” the post said. “We don’t have money for lawyers and we don’t have resources to defend ourselves.”

It promised full refunds for all tickets sold.

Greyhound spokesperson Tim Stokes sent an emailed statement that said all intercity bus services are regulated and require carriers to be licensed.

“Our records show that the carrier in question was not licensed by the governing board,” the statement read. “It is always our goal to work with the (Ontario Highway Transport Board) to ensure the rules and policies they have placed for all carriers are fully enacted.”

Rocket co-founders Bill Mei and Darren Cole said they didn’t want to comment beyond the website statement because they’re unsure of legal implications.

In an interview with the Star last month, Mei said insurance, licenses and other legalities for the buses were covered by the company from which they contracted the vehicles.

Mei and Cole launched a similar service during Thanksgiving out of Kingston, where they attend Queen’s University. The “Kingston Rocket” shuttled about 350 students on nine buses to the GTA during that holiday weekend, charging $25 for a one-way trip.

They wanted to extend that to London and hired Nancy Li and Brett Heron, second-year students at the University of Western Ontario, to manage the “London Rocket.” They still plan to run buses from Kingston over the holidays. It’s not clear if that service has the correct license.

Provincial legislation requires an operating license for public vehicles—those carrying paying passengers on a highway. The Public Vehicles Act also forbids anyone from arranging transportation using anyone who doesn’t hold operating licenses authorizing the service.

The London Rocket’s Facebook page had several messages of support and dismay from students on Wednesday night who had planned to take the bus.

“This is ridiculous, but I guess, not entirely surprising,” wrote one student. “Good on you for your efforts to help fellow students save some (scarce) money . . . ”

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A standard fare from London to Toronto on Greyhound is $36, though some discounted tickets are under $20. Fares listed online from Kingston to Toronto on Greyhound hover around $100, depending on the date and available discounts.

Via Rail lists its standard fares as $61 and $89, though there are also online discounts.