Case Note & Summary
The petitioners, Kikubhai Jairambhai Patel and others, filed a writ petition before the Gujarat High Court seeking additional compensation under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (the 2013 Act) for land acquired under the National Highways Act, 1956. The land was acquired for a highway project, and the Competent Authority and Special Land Acquisition Officer had determined the market value applying multiplication factor-2 under Section 26 of the 2013 Act. However, the authority did not award the additional compensation of 12% per annum on the market value (including the multiplication factor) for the period from the date of the preliminary notification under Section 3A of the National Highways Act, 1956 until the date of the award or taking possession, whichever is earlier. The petitioners also sought interest under Section 80 of the 2013 Act on the unpaid amount. The court, after hearing the parties, held that the additional compensation under Section 30(3) is a statutory benefit that must be paid on the total market value, including the multiplication factor. The court directed the respondents to compute and pay the additional compensation at 12% per annum on the market value (including multiplication factor-2) from the date of the preliminary notification under Section 3A of the National Highways Act, 1956 until the date of the award or possession, whichever is earlier, within a period of eight weeks. Additionally, the court ordered payment of interest under Section 80 of the 2013 Act on the unpaid amount from the date of the award until actual payment. The writ petition was allowed accordingly.
Headnote
A) Land Acquisition - Additional Compensation - Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - Petitioners sought additional compensation @ 12% on market value including multiplication factor-2 for land acquired under National Highways Act, 1956 - Court held that additional compensation under Section 30(3) is payable on the total market value including multiplication factor, from the date of preliminary notification under Section 3A of the National Highways Act, 1956 till the date of award or possession, whichever is earlier (Paras 2-5). B) Land Acquisition - Interest - Section 80 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 - Petitioners claimed interest on unpaid additional compensation - Court directed payment of interest under Section 80 on the unpaid amount from the date of award till actual payment (Paras 2, 5).
Issue of Consideration
Whether the petitioners are entitled to additional compensation @ 12% under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 on the market value including multiplication factor-2, and interest under Section 80 of the said Act.
Final Decision
The court allowed the writ petition and directed the respondents to compute and pay additional compensation @ 12% per annum under Section 30(3) of the 2013 Act on the market value including multiplication factor-2, from the date of preliminary notification under Section 3A of the National Highways Act, 1956 till the date of award or possession, whichever is earlier, within eight weeks. The court also directed payment of interest under Section 80 of the 2013 Act on the unpaid amount from the date of award till actual payment.
Law Points
- Additional compensation under Section 30(3) of the Right to Fair Compensation and Transparency in Land Acquisition
- Rehabilitation and Resettlement Act
- 2013 is payable on the total market value including multiplication factor
- Interest under Section 80 of the 2013 Act on unpaid amounts
