(1) The right of any person to use any place, within the limits of a municipality, other than a municipal market, as a market or shop for the sale of animals, meat or fish intended for human food, or as a market for the sale of fruit or vegetables, shall be subject to by laws (if any) made under heading “F” of section 298 :
(2) Provided that, where any by-law is in force requiring a licence for the establishment or maintenance of a market or shop for the sale of any article mentioned in sub-section (i), the Municipality shall not—
(a) refuse a licence for the maintenance of a market or shop lawfully established at the date of such by law coming into force, if application be made within six months from such date, except on the ground that the place where the market or shop is established fails to comply with any conditions prescribed by, or under this Act, or
(b) cancel, suspend or refuse to renew any licence granted under such by-law for any cause other than the failure of the licensee to comply with the conditions of the licence or with any provision of or made under, this Act.