Case Note & Summary
The petitioners, Ajinath, Bajirao, and Dhondiba Avhad, owned agricultural land in Mahinda, Taluka Ashti, District Beed. Their land was required for the construction of a village water tank, a public purpose. Before formal acquisition proceedings were initiated or completed, the respondents (the State of Maharashtra, the Collector, the Special Land Acquisition Officer, and the Executive Engineers of the Irrigation Department) approached the petitioners for consent to take possession of the land. On 16th June 2005, an agreement was executed between the petitioners and respondent nos.4 and 6 (the acquiring body). Clause 1 of the agreement allowed the petitioners to harvest only the existing crop but prohibited sowing new crops. Clause 2 stated that compensation for the period between the date of possession and the date of the award would be determined by the Collector. Possession of the land was taken on 16th June 2005, as admitted by the respondents in their affidavits. The award was made on 30th June 2010. The petitioners filed a writ petition seeking compensation for the use and occupation of their land from 16th June 2005 to 30th June 2010, as per the agreement. The respondents argued that the compensation would be determined by the Collector and that the petitioners were not entitled to any interim compensation. The court held that the respondents were bound by the agreement and must pay compensation for the period from possession to the award. The court directed the respondents to pay compensation at the rate determined by the Collector, or if not determined, at the market rate as on the date of possession, with interest. The petition was allowed with costs.
Headnote
A) Land Acquisition - Pre-acquisition Possession - Compensation - Agreement - The petitioners' land was taken possession of on 16th June 2005 before formal acquisition proceedings, under an agreement dated 16th June 2005. Clause 2 of the agreement provided that compensation for the period between possession and award would be determined by the Collector. The court held that the respondents are bound by the agreement and must pay compensation for the use and occupation of the land from the date of possession until the date of the award, as per the agreement. (Paras 3-5) B) Land Acquisition - Delay in Award - Section 11A Land Acquisition Act, 1894 - The award was made on 30th June 2010, nearly five years after possession was taken. The court noted that the delay in making the award does not absolve the respondents from their obligation to pay compensation under the agreement. The court directed the respondents to pay compensation for the period from 16th June 2005 to 30th June 2010, as per the agreement. (Paras 4-6)
Issue of Consideration
Whether the petitioners are entitled to compensation for the period between taking possession of their land on 16th June 2005 and the date of the award, and whether the respondents are liable to pay compensation as per the agreement executed on 16th June 2005.
Final Decision
The court allowed the writ petition and directed the respondents to pay compensation to the petitioners for the use and occupation of their land from 16th June 2005 to 30th June 2010, as per the agreement dated 16th June 2005. The compensation shall be determined by the Collector, and if not determined, at the market rate as on the date of possession with interest. The respondents were also directed to pay costs.
Law Points
- Compensation for pre-acquisition possession
- Agreement for compensation
- Duty of acquiring body to pay compensation
- Section 11A Land Acquisition Act
- 1894



