High Court Dismisses Writ Appeal in Land Acquisition Case — No Lapse Found. The court found that compensation was deposited in accordance with the law, thus the acquisition proceedings were valid under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013.

High Court: Madras High Court Bench: Principal
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Case Note & Summary

The writ appeal was filed against the order of a learned Single Judge which rejected the appellant's claim that the land acquisition proceedings had lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. The appellant owned land in Alapakkam Village, which was acquired by notification in 1989 for a housing scheme. An award was passed in 1992, but compensation was not paid directly due to ownership disputes, leading to a deposit in the Civil Court. The appellant sought a declaration of lapse, arguing that neither possession was taken nor compensation paid. The Tamil Nadu Housing Board countered that possession was taken in 2006 and compensation was deposited in 1992. The Single Judge found that the conditions for lapse were not satisfied. The court analyzed the legal requirements under Section 24(2) and referenced the Supreme Court's ruling in Indore Development Authority v. Manoharlal, clarifying that both conditions must be unmet for a lapse to occur. The court concluded that since compensation was deposited and possession taken, the acquisition was valid. The appeal was dismissed, and no costs were awarded.

Headnote

A) Land Acquisition - 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 both conditions of non-payment of compensation and non-taking of possession must be met for a lapse to occur. Since compensation was deposited in court and possession was taken, the acquisition proceedings were not deemed lapsed (Paras 6-8).

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Issue of Consideration

Whether the land acquisition proceedings had lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013.

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Final Decision

The court dismissed the writ appeal, affirming the learned Single Judge's order that the acquisition proceedings had not lapsed as compensation was deposited and possession taken.

Law Points

  • Land Acquisition
  • Compensation
  • Lapse of Acquisition
  • Right to Fair Compensation and Transparency in Land Acquisition
  • Rehabilitation and Resettlement Act
  • 2013
  • Old Land Acquisition Act
  • 1894
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Case Details

2026 LawText (MAD) (09) 192

W.A.No.2555 of 2026

2026-09-25

Sushrut Arvind Dharmadhikari, G. Arul Murugan

2026:MHC:3926

Mr.V.R.Kamalanathan, Mr.R.Manibarathi, Mr.C.A.Ramanan, Mr.N.Moorthi

K.Bhuvaneswari

The Government of Tamil Nadu, The Land Acquisition Officer, The Chairman Tamilnadu Housing Board

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Nature of Litigation

Writ appeal against the rejection of a claim for lapse of land acquisition proceedings.

Remedy Sought

The appellant sought a declaration that the land acquisition proceedings had lapsed.

Filing Reason

The appellant claimed that neither possession was taken nor compensation paid.

Previous Decisions

The learned Single Judge had previously rejected the appellant's claim.

Issues

Whether the land acquisition proceedings had lapsed under Section 24(2) Whether compensation was effectively paid or deposited

Submissions/Arguments

The appellant argued that no compensation was paid directly to her. The respondents contended that compensation was deposited in court and possession was taken.

Ratio Decidendi

Both conditions of non-payment of compensation and non-taking of possession must be met for a lapse to occur under Section 24(2) of the New Act. Compensation deposited in court counts as payment.

Judgment Excerpts

The appellant's prayer for a declaration that the land acquisition proceedings relating to her land had lapsed under Section 24(2) was rejected. Compensation was deposited in the Civil Court in 1992, well before the new Act was even conceived. The learned Single Judge was right in holding that the twin conditions have been substantially complied with by the respondents.

Procedural History

The appellant filed W.P.No.3560 of 2016 seeking a declaration of lapse, which was rejected by the learned Single Judge on 22.09.2025, leading to the present appeal.

Acts & Sections

  • Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act: 24(2)
  • Land Acquisition Act: 30, 31(2), 11
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