Supreme Court Dismisses Appeal in Land Acquisition Dispute; Holds Court Lacks Inherent Jurisdiction Without Reference Under Section 18. The Court ruled that absence of a reference by the Collector under Section 18 of the Land Acquisition Act, 1894 precluded determination of compensation despite the State's failure to object in the lower court.

In Favour of Prosecution
  • 50
Judgement Image
Font size:
Print

Case Note & Summary

The dispute arose from land acquisition proceedings in Vijayawada, Andhra Pradesh, where certain lands belonging to the appellants were acquired by the State. The Land Acquisition Officer had fixed compensation at Rs. 3,500 per acre for survey Nos. 281/2 and 339/1 to 8 and Rs. 4,000 per acre for survey No. 338/1 to 3. There were disputes regarding entitlement to compensation for survey No. 339/1 to 3, leading to a reference under Section 30 of the Land Acquisition Act, 1894 for apportionment. Six appellants, dissatisfied with the compensation amount, filed written applications under Section 18 within the statutory period, requesting a reference to the court for determination of compensation. However, the Land Acquisition Officer did not make any reference on those applications. When the matter came before the Subordinate Judge, Vijayawada, the court proceeded as if the reference covered both apportionment and quantum of compensation, and granted a uniform rate of Rs. 10,000 per acre. No objection was raised by the State before the Subordinate Judge that the court lacked jurisdiction to consider compensation quantum in the absence of a reference. On appeal by the State, the High Court of Andhra Pradesh allowed the jurisdictional plea to be raised but ultimately negatived it, holding that the defect was not one of inherent lack of jurisdiction and could be waived. The High Court also modified the finding on compensation and reduced the amount. The appellants then appealed to the Supreme Court. The Supreme Court examined the provisions of the Land Acquisition Act, 1894, particularly Sections 12(1), 18, 19, 21, and 30. It held that the jurisdiction of the court under the Act arises solely on the basis of a reference made by the Collector. Since no reference was made under Section 18 regarding the quantum of compensation, the court lacked inherent jurisdiction to determine that matter. The reference under Section 30 for apportionment did not empower the court to consider compensation amount. The Court further held that absence of inherent jurisdiction cannot be waived or cured by acquiescence, even if the State failed to object in the lower court. On merits, the Supreme Court found no substantial grounds to interfere with the High Court's assessment based on sale deeds. Accordingly, the appeal was dismissed.

Headnote

A) Land Acquisition - Reference to Court - Jurisdiction - Land Acquisition Act, 1894, Sections 12(1), 18(1), 18(2), 19, 21, 30 - The court's jurisdiction to determine compensation arises solely on a reference made by the Collector under Section 18; a reference under Section 30 for apportionment cannot enable the court to decide quantum; the Land Acquisition Officer made no reference on the six appellants' applications under Section 18 - Held that the court lacked inherent jurisdiction to determine the amount of compensation and could not go behind the Collector's award.

B) Civil Procedure - Waiver and Acquiescence - Inherent Jurisdiction - Land Acquisition Act, 1894, Section 18 - The State did not object before the Subordinate Judge to the absence of a reference; the High Court held the defect was not inherent and could be waived - The Supreme Court reversed, holding that where jurisdiction is conferred by statute upon specified terms, non-compliance creates inherent lack of jurisdiction; absence of inherent jurisdiction cannot be waived or cured by acquiescence - Held that the State's failure to object did not confer jurisdiction on the court to determine compensation.

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the court had jurisdiction to determine the amount of compensation in the absence of a reference made by the Land Acquisition Officer under Section 18 of the Land Acquisition Act, 1894, and whether the State's failure to object before the lower court amounted to waiver of this jurisdictional defect.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The Supreme Court dismissed the appeal. It held that the court had no inherent jurisdiction to determine the amount of compensation because there was no reference under Section 18 of the Land Acquisition Act, 1894, and a reference under Section 30 for apportionment did not empower the court to decide quantum. The State's failure to object in the lower court did not amount to waiver or acquiescence. On merits, the Court found no grounds to interfere with the High Court's assessment of compensation.

Law Points

  • Jurisdiction under Section 18 of the Land Acquisition Act arises solely on the basis of a reference made by the Collector
  • Where jurisdiction is given by statute upon specified terms
  • those terms must be complied with to create jurisdiction
  • Absence of inherent jurisdiction cannot be waived or cured by acquiescence
  • Reference under Section 30 for apportionment does not invest court with jurisdiction to determine compensation
  • Award under Section 12(1) is final and conclusive except as provided in the Act
Subscribe to unlock Law Points Subscribe Now

Case Details

1964 LawText (SC) (01) 9

Civil Appeal No. 325 of 1962

1964-01-23

Mudholkar, J.R., Subbarao, K.

1965 AIR 304, 1964 SCR (6) 294

K. Bhimsankaram, R. Ganapathy Iyer, P. Ram Reddy, T. V. R. Tatachari, B. R. G. K. Achar

K. Kankarathnamma and others

State of Andhra Pradesh and others

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Appeal by land owners against High Court judgment reducing compensation awarded under Land Acquisition Act, 1894, raising jurisdictional issue about court's power to determine compensation without a reference under Section 18.

Remedy Sought

The appellants sought to set aside the High Court's judgment reducing compensation and to restore or enhance the compensation awarded by the Subordinate Judge.

Filing Reason

The State acquired lands belonging to the appellants; disputes arose regarding entitlement and amount of compensation; six appellants filed applications under Section 18 for reference on quantum of compensation but the Land Acquisition Officer made no such reference; the Subordinate Judge treated the existing reference under Section 30 for apportionment as also covering quantum and awarded Rs. 10,000 per acre; the High Court allowed the State to raise the jurisdictional plea and reduced the compensation, prompting the appeal.

Previous Decisions

Land Acquisition Officer fixed compensation at Rs. 3,500 per acre for survey Nos. 281/2 and 339/1 to 8 and Rs. 4,000 per acre for survey No. 338/1 to 3; made a reference under Section 30 only for apportionment. Subordinate Judge, Vijayawada, awarded uniform Rs. 10,000 per acre. High Court of Andhra Pradesh in Appeal Suit No. 489 of 1954 reversed the Subordinate Judge's finding on the amount of compensation and reduced it, after holding that the court lacked inherent jurisdiction but allowing the plea only for the purpose of decision.

Issues

Whether the court had jurisdiction to determine the amount of compensation in the absence of a reference made by the Land Acquisition Officer under Section 18 of the Land Acquisition Act, 1894. Whether the State's failure to raise the plea of absence of reference before the Subordinate Judge amounted to waiver or acquiescence. Whether a reference under Section 30 for apportionment can invest the court with jurisdiction to consider the quantum of compensation.

Submissions/Arguments

Appellants contended that the State's failure to raise the plea of absence of reference before the Subordinate Judge amounted to waiver, and the High Court accepted this argument. State contended that in the absence of a reference on the question of quantum of compensation, the court had no jurisdiction to consider that matter at all. Appellants also argued the merits of compensation based on sale deeds, but the Supreme Court found no substantial grounds to interfere with High Court's conclusions.

Ratio Decidendi

A court's jurisdiction under the Land Acquisition Act, 1894 arises solely on the basis of a reference made by the Collector under Section 18; where a statute confers jurisdiction only upon specified terms, those terms must be complied with; non-compliance results in absence of inherent jurisdiction, which cannot be waived or cured by acquiescence; a reference under Section 30 for apportionment does not enable the court to determine compensation.

Judgment Excerpts

Wherever jurisdiction is given by a statute and such jurisdiction is only given upon certain specified terms contained therein, it is a universal principle that those terms should be complied with, in order to create and raise the jurisdiction, and if they are not complied with the jurisdiction does not arise. When there is an absence of inherent jurisdiction, the defect cannot be waived nor can be cured by acquiescence. The jurisdiction of the court arises solely on the basis of a reference made to it. Such a reference would certainly not invest the court with the jurisdiction to consider a matter not directly connected with it.

Procedural History

Land Acquisition Officer passed award fixing compensation. Disputes as to entitlement for survey No. 339/1 to 3 led to reference under Section 30 for apportionment. Six appellants filed applications under Section 18 for reference on quantum, but no reference was made. The Subordinate Judge, Vijayawada, treated the reference as covering both apportionment and quantum, and awarded Rs. 10,000 per acre uniformly. The State appealed to the High Court of Andhra Pradesh (Appeal Suit No. 489 of 1954), which allowed the plea of lack of jurisdiction to be raised but ultimately negatived it, and reduced the compensation amount. The appellants then appealed to the Supreme Court by Civil Appeal No. 325 of 1962.

Acts & Sections

  • Land Acquisition Act, 1894: 12(1), 18(1), 18(2), 19, 21, 30
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court High Court of Karnataka Reserves Order on Writ Petition Challenging Rejection of Nomination for KSCA President Due to Arrears. The Core Issue Is Whether Arrears Paid Before Scrutiny Removes the Embargo Under the Association's Rules.
Related Judgement
Supreme Court Supreme Court Upholds Seller's Liability in Cotton Sale Contract Breach Due to Failure to Prove Adequate Supplier Contracts. Shipment Date 'Not Guaranteed' Condition Interpreted to Excuse Only Delay in Obtaining Import Licence, Which Was Not Present,...