Does India Have the Right ‘Habitat’ for Comedy Venues?

The recent controversy involving Kunal Kamra in Mumbai has created problems not just for the comedian, but also for the venue that hosted the event, the Habitat. While political jokes are common in comedy and often spark debate, this particular incident has had wider repercussions, leading to vandalism at the venue.

In this Weekly, let’s look at the rights and responsibilities of   the owner of a venue.

What are the Property Rights?

Property rights are the legal entitlements that define a person’s or entity’s right  to own, use, and dispose of tangible assets like land and buildings, and intangible assets like a work of art etc. 

In the context of the venue owner, these rights are primarily related to the ownership of the immovable property (the venue itself). These rights are fundamental and are protected by various laws in India. Some of the rights enjoyed by property owners are listed below:

A. Right to Ownership:

This  includes the right to possess the property, to use it, to enjoy its fruits (like rent or profits), and to dispose of it (sell, gift, etc.). The Constitution of India under Article 300A states that “No person shall be deprived of his property save by authority of law.” This ensures that only the government can interfere with a person’s property rights, and only if there’s a valid law permitting it. 

The Transfer of Property Act, 1882 (TOPA) also recognizes and protects ownership rights. Besides, the Specific Relief Act, 1963 provides remedies for the protection of possession and ownership of property, such as injunctions to prevent unlawful interference.

B. Right to Lease or License:

The owner has the right to grant a lease,  which is a permission to the person leasing it to use the property for a specific purpose for a specific period of time in exchange for payment.

C. Right to Exclude:

A property owner has the right to control access to their property and exclude others from using the property. An unlawful access, use or entry into someone else’s property results in the offence of criminal trespass, which can lead to up to three months of jail time.

D. Right to Alter or Improve:

Owners have the right to make changes to their property, as long as they comply with relevant regulations. However, it is subject to various local laws and regulations, such as building codes, zoning laws, and environmental regulations.

E. Right to Sell or Transfer:

Owners have the right to transfer their ownership to another person, either permanently or for a specific period of time.

What are Easementary Rights?

Easementary rights, governed by the Indian Easements Act, of 1882, are rights that the owner of a property have over someone else’s property to be able to fully enjoy the benefits of their own property. This includes:

• The right to way, i.e., a passage to enter one’s house, or access a public road;
• The right to utilities which include access to essential amenities like water, electricity etc. be routed into one’s property;
• The right to have one’s land or buildings supported by neighbouring land or structures;
• The right to drainage, light and air which is not to be obstructed by neighbouring structures. 

Responsibilities of a venue owner

Having discussed the rights of a venue owner, it is important to also look into the responsibilities that venue owners have while hosting events on their premises. 

• Obtaining municipal permissions: Local regulation laws, building laws and municipal laws determine what type of a property can host events of what scale. The venues must obtain licences and permissions from the local state bodies for specific needs of the event. This includes the playing of music, hosting a certain number of people, controlling sound, protection from fire related hazards and other health and safety permits. 
• Intellectual property rights: In India, for any public performance which may involve playing of music or performance of any artist, the Public Performance Licence is mandatory. This protects the copyrights of the artists whose performances are being played. 
• Executing contracts with the event organiser and the performer : Venue owners must execute an agreement listing all the terms and conditions of using the property, including the amount and schedule of payment, declarations regarding the nature of the performance etc. before the event. 

What are the legal consequences for a venue owner in case of a mishap at an event?

Given the recent controversy, these rights can help us  understand the venue owner’s legal position:

• Their property rights allow them to control the venue, enter into agreements for its use, and seek compensation for damage.
• Their easementary rights ensure the venue has essential access and services, which might be indirectly affected by disputes with outsiders  arising from the event.

What are the Protections/Damages a Venue Can Claim in Case of Vandalism?

• Contractual Agreements: The license agreement between the venue and the event organizer should clearly outline responsibilities for damages. Venues can include clauses that make the event organizer liable or excuse them for any vandalism or damage caused by attendees or performers.
• Insurance: Venues should have their own property insurance to cover damages to the premises. They can also require event organizers to have public liability insurance that covers potential damages during the event.
• Legal Action: In case of vandalism or other damages, the venue owner can file a police complaint and pursue legal action against those responsible for the damage to recover costs for repair or replacement. This could be against specific individuals identified or potentially the event organizer if the agreement holds them responsible. Section 324 of the Bharatiya Nyaay Sanhita ( BNS) lays down up to five years of jail time and or a fine, depending on the scale of damage.
• Security Deposit: Venues often take a security deposit from event organizers, which can be used to cover minor damages.
• Force Majeure Clauses: Contracts often contain force majeure clauses that address unforeseen circumstances like natural disasters However, vandalism is unlikely to be covered under it. 
• Reputational Damage: While direct monetary compensation for reputational damage is harder to claim, the venue can factor in potential loss of business when seeking damages.

The recent controversy highlights the complex laws venue owners navigate when hosting events, particularly those with the potential for public discourse and disagreement. Their fundamental rights are tested when events lead to vandalism or other disruptions.