Gujarat High Court Dismisses Petition Seeking Declaration of Lapse of Land Acquisition Under Section 24 of RFCTLARR Act, 2013 — Petitioners Failed to Demonstrate Non-Compliance with Both Conditions of Section 24(2). The court held that for acquisition to lapse under Section 24(2), both non-payment of compensation and non-taking of possession must be established, and the burden lies on the petitioner.

High Court: Gujarat High Court
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Case Note & Summary

The petitioners, legal heirs of the original owner Amratlal Dharamchand Shah, filed a writ petition on 19.07.2019 seeking a declaration that the acquisition proceedings for land bearing Block No. 258, Survey No. 246/2 and Survey No. 240, total admeasuring 42,273 sq.mtrs. at village Sachin, Taluka Chorasiya, District Surat had lapsed under Section 24 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (Act, 2013). They also sought a mandamus restraining the respondents from taking possession pending the petition. On the first hearing, 23.07.2019, the court adjourned the matter sine die noting that the interpretation of Section 24(2) was pending before a Constitution Bench of the Supreme Court. The Constitution Bench delivered its decision in Indore Development Authority v. Manoharlal on 06.03.2020, but the petitioners did not file any application to revive the petition. The petition was listed for hearing on 02.03.2026 under the court's listing methodology. The court considered the Constitution Bench's ruling, which held that the word 'or' in Section 24(2) must be read as 'and', meaning that for an acquisition to lapse, both conditions—non-payment of compensation and non-taking of possession—must be satisfied. The court noted that the petitioners had not placed any material to show that possession had not been taken. The petition was dismissed as the petitioners failed to make out a case for lapse of acquisition.

Headnote

A) Land Acquisition - Lapse of Acquisition - Section 24(2) RFCTLARR Act, 2013 - Interpretation of 'or' - The Constitution Bench in Indore Development Authority v. Manoharlal held that the word 'or' in Section 24(2) must be read as 'and', meaning both non-payment of compensation and non-taking of possession are required for acquisition to lapse. The court dismissed the petition as the petitioners failed to show that both conditions were satisfied. (Paras 4-6)

B) Land Acquisition - Burden of Proof - Section 24(2) RFCTLARR Act, 2013 - The burden lies on the petitioner to establish that neither compensation was paid nor possession was taken. Mere non-payment of compensation is insufficient if possession has been taken. (Para 6)

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Issue of Consideration

Whether the land acquisition proceedings in respect of the subject land have lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, given the interpretation of the word 'or' in that provision.

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Final Decision

The petition is dismissed. The petitioners failed to make out a case for lapse of acquisition under Section 24(2) of the Act, 2013.

Law Points

  • Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition
  • Rehabilitation and Resettlement Act
  • 2013
  • interpretation of 'or' as conjunctive
  • burden of proof on petitioner
  • lapse of acquisition requires both non-payment of compensation and non-taking of possession
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Case Details

2026:GUJHC:17065-DB

R/Special Civil Application No. 12546 of 2019

2026-03-02

Sunita Agarwal, D.N.Ray

2026:GUJHC:17065-DB

Mr. Manan A Shah for the Petitioners, Ms. Hetal Patel, Assistant Government Pleader/PP for the Respondent No. 1

Amratlal Dharamchand Shah Since Deceased Through Legal Heirs and Reps & Ors.

State of Gujarat & Ors.

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Nature of Litigation

Writ petition seeking declaration of lapse of land acquisition proceedings under Section 24 of the RFCTLARR Act, 2013.

Remedy Sought

Declaration that acquisition proceedings for the subject land have lapsed under Section 24 of the Act, 2013, and a mandamus restraining respondents from taking possession.

Filing Reason

Petitioners claimed that the acquisition had lapsed due to non-payment of compensation and/or non-taking of possession under Section 24(2) of the Act, 2013.

Previous Decisions

The matter was adjourned sine die on 23.07.2019 pending the Constitution Bench decision on interpretation of Section 24(2). The Constitution Bench decided in Indore Development Authority v. Manoharlal on 06.03.2020.

Issues

Whether the land acquisition proceedings have lapsed under Section 24(2) of the RFCTLARR Act, 2013, given the interpretation of the word 'or' as conjunctive. Whether the petitioners have discharged the burden of proving both non-payment of compensation and non-taking of possession.

Submissions/Arguments

Petitioners argued that the acquisition had lapsed under Section 24(2) as compensation was not paid. Respondents likely argued that possession had been taken and/or that both conditions must be satisfied.

Ratio Decidendi

For an acquisition to lapse under Section 24(2) of the RFCTLARR Act, 2013, both conditions—non-payment of compensation and non-taking of possession—must be satisfied, as held by the Constitution Bench in Indore Development Authority v. Manoharlal. The burden is on the petitioner to establish both conditions.

Judgment Excerpts

The correct interpretation of Section 24 of the Act, 2013 was subject matter of reference to the five-Judge Bench of the Apex Court. It was held therein that the word ‘or’ used in Section 24(2) between ... must be read as 'and'. The petitioners have not placed any material to show that possession of the subject land has not been taken.

Procedural History

The petition was filed on 19.07.2019. On 23.07.2019, the court adjourned the matter sine die pending the Constitution Bench decision. The Constitution Bench decided on 06.03.2020. No application was filed by petitioners to place the matter on board. The petition was listed on 02.03.2026 under the court's listing methodology and dismissed.

Acts & Sections

  • Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013: Section 24, Section 24(2)
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