Street vendors’ rights to carry on their trade in public spaces, has been the subject matter of debate and discussion in India for a very long time. In fact it has taken numerous judgments of the Supreme Court and High Court to recognize their rights and shape up a statutory regime. This scenario raises an important question, as to what is the kind of property rights enjoyed by these street vendors. A study was undertaken to analyse this aspect and answer some key questions pertaining to the gradual changes that occurred in the overall concept of property rights in India.

1. Property Rights and Street Vendors
Amit Chandra
Rajul Jain

2. What is meant by property rights?
ACQUIRE
To become
owner of
through legal
means
HOLD
To possess
the property
and enjoy the
benefits
which are
ordinarily
attached to
its ownership
(including its
management)
DISPOSEOF
To transfer,
assign or sell
the property

3. Objectives of the Study
o Trace the development of law related to property
rights in general
o Trace the evolution of property rights as
applicable to street vendors’
o Analyse and evaluate the protection afforded to
street vendors under Street Vendors (Protection
Of Livelihood And Regulation Of Street Vending)
Act, 2014

4. Evolution of Property Rights in India
o Enshrined in the Constitution of India under Article
19(1)(f) read with 19(5).
o Underwent several changes to meet political ends and
eventually taken out of purview of fundamental rights.
o According to interpretation placed by Courts, if the right
to enjoy property was impaired or if any incident of
property was abridged or diluted or if the value of the
property was affected by any law, then compensation
became payable irrespective of the fact whether the state
was acquiring the property for public use or just seeking
to regulate it.

5. o Courts also held that compensation to be paid by
the State meant just equivalent of the property
acquired.
o Major constitutional amendments:
1.Constitution (First
Amendment) Act, 1951
Introduced the concept of
Ninth Schedule
2. Constitution (Fourth
Amendment)Act, 1955
Made question of adequacy of
compensation non-justiciable
3. Constitution (Twenty-Fifth
Amendment) Act, 1971
Article 31(C) added to further
make laws effecting directive
principles, non-justiciable
4. Constitution (Forty-Fourth
Amendment) Act, 1978
Property right taken out of the
purview of fundamental right
and made a mere legal right

6. Factors for
choosing
street vending
as an
occupation
Patna
Only means
of earning a
livelihood Ahmedabad
Retrenchment (30% of
the surveyed vendors)
Mumbai
Retrenchment (30% of
the surveyed vendors)
Imphal
Poverty
Kolkata
Retrenchment (55% of
the surveyed vendors)
Bhubhaneshwar
Lack of skills for other
employment/ lack of
other jobs
Please refer to study conducted by National Commission for Employment in Unorganised Sector

7. Trivia about Street Vending
o According to a study conducted in 2001 by Manushi, a
sum of approximately INR 500 million per month was
collected as bribes and protection money by street
vendors and rickshaw pullers in Delhi.
o Estimates related to Mumbai reflect that only 10% of the
104,000 hawkers earned more than INR 500 a day (study
by Debul Saha)
o Women in street vending earn lesser than their male
counterparts.

8. Judicial Discourse on the Subject and
Informal Legislation
o In Bombay Hawkers’ Union vs. Bombay Municipal
Corporation and Ors. the Supreme Court, for the first
time, upheld the right to livelihood of the street vendors
[1985(3)SCC528]
o In the case of Sodan Singh vs. UOI resorted to giving
model guidelines to be followed by civic authorities till
proper legislation could be brought into force
[1998(2)SCC727]
o The Courts also recognised the importance of the street
vendors in the economy and how they add to
convenience of the people.

9. Review of Street Vendors (Protection of Livelihood
and Regulation of Street Vending) Act, 2014
o Provides for a nexus between number of street
vendors and the population and/or the holding
capacity of the area concerned.
o Provides for a right in the certificate issued,
which can also be enjoyed through the certificate
holder’s spouse or dependent child.
o Puts burden of paying maintenance charges and
charges for facilities provided in the vending zone
in addition to vending fee.

10. o The vendors who have a vending certificate and are
operating from a location but are being relocated
under the Act can assert a temporary right, which
vests in them through the certificate to vend from any
site whatsoever. Therefore, this right to relocation is
very important and adds some strength to the
concept of property rights of street vendors.
o Bar on eviction and relocation of vendors without
notice.
o Section 28(a) makes any vending activity without a
certificate of vending effectively illegal without,
thereby, attracting penalty.
o As a matter of abundant caution Section 29(1)
provides that no right—temporary, permanent or
perpetual of carrying out vending activities in the
vending zones allotted to him/her or in respect of any
place is created in the vendor.

11. Key Findings
o Street vending has not been included in urban planning,
which seems to be a huge drawback for the street
vending activity.
o The Act vests the Town Vending Committees with wide
discretionary powers.
o It is further observed that there are little or no
safeguards within the Act itself which would protect the
vendors from harassment by penalising officials who
indulge in activities prohibited in the Act.
o Little awareness among street vendors about the
provisions of law pertaining to their trade.

12. Recommendations
o Till the provisions of the Act are implemented in
toto, all eviction drives should be put on hold.
o The scheme should also have mechanism for
compensating the vendors where loss of goods is
caused due to the action of the civic authorities
or upon confiscation etc.
o The scheme should also clearly set out the
guidelines for confiscation of goods, thereby
specifying and limiting the powers of the local
authorities to confiscate on such specific items.

13. o That the rule or scheme to be framed under the Act
should have specific provision for punishing non-
observance of pro-vendors guidelines.
o The street vending activities should be incorporated in
the city planning exercise conducted by the urban
planning bodies and accommodated in the master
plans. This would strengthen the right of vendors in
claiming spots from the Town Vending Committee
and also provide a guiding structure to the
committee. This would also remove arbitrariness in
the action of the local bodies.
o That the rule or scheme to be framed under the Act
should have provision for special insurance scheme
for loss of goods (both the saleable items and goods
used to carry on trade) of vendors through natural or
man-made reasons.

14. THANKS ! 
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