Case Note & Summary
The case involved an appeal against a High Court judgment that declared the acquisition of land lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. The acquisition proceedings dated back to 1965, with an award declared in 1981. The Government of NCT of Delhi contended that possession was taken in 1981, but the High Court ruled that compensation was not tendered, leading to the lapse. The Supreme Court analyzed the conditions under Section 24(2) and referenced the Constitution Bench decision in Indore Development Authority Vs. Manoharlal, emphasizing that both possession and compensation must not have been addressed for a lapse to occur. The court found that since possession was taken, the conditions for lapse were not met, and the High Court's ruling was unsustainable. Consequently, the Supreme Court quashed the High Court's order and allowed the appeal by the Land and Building Department, stating that no further orders were necessary regarding the Delhi Development Authority's appeal. The judgment was delivered on January 20, 2023.
Headnote
A) Land Acquisition - Deemed Lapse of Acquisition - Conditions for Lapse - Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, Section 24(2) - The court held that for the acquisition to be deemed lapsed, both possession must not have been taken and compensation must not have been tendered. Since possession was taken in 1981, the conditions for lapse were not satisfied, thus the High Court's declaration was quashed. (Paras 2.3-2.4) B) Land Acquisition - Tendering of Compensation - Non-Deposit of Compensation - Land Acquisition Act, 1894, Section 31 - The court clarified that non-deposit of compensation does not result in lapse of acquisition proceedings. The obligation to pay is fulfilled by tendering the amount, and landowners cannot claim lapse if compensation was tendered. (Paras 2.3-2.5)
Issue of Consideration
Whether the acquisition of land is deemed to have lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013.
Final Decision
The Supreme Court quashed the High Court's order declaring the acquisition lapsed and allowed the appeal by the Land and Building Department, stating that the conditions for lapse under Section 24(2) were not satisfied as possession was taken in 1981.
Law Points
- Land Acquisition
- Compensation
- Deemed Lapse
- Right to Fair Compensation and Transparency in Land Acquisition
- Rehabilitation and Resettlement Act
- 2013
- Section 24(2)
- Possession
- Tendering of Compensation


