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Civil · Reportable judgment

Sumitraben Singabhai Gamit vs State of Gujarat & Ors.

Court
Supreme Court of India
Date
21 April 2025
Case No.
Civil Appeal No. 5095 of 2025
Result
Allowed
Bench
Dipankar Datta, Manmohan
Citation
[2025] 4 S.C.R. 1398 : 2025 INSC 521
Acts & Sections
Right to Fair Compensation and Transparency…
Supreme Court Reports [2025] 4 S.C.R. 1398 : 2025 INSC 521
Issue for consideration
The question involved is the interpretation of proviso to Section 26(1) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (“RFCTLARR Act, 2013”) in the context of the date that is relevant for determining the market value of the land being acquired.
Headnote

Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 – Relevant date for determining the market value for the land sought be acquired – Proviso to Section 26(1) – Legislative scheme and legislative intent:

Held: The use of the word “shall” in Section 26(1) proviso is reflective of the legislative mandate that Section 11 Notification is the date for determination of the compensation – The legislative intent is to ensure that the land owners receive fair compensation reflective of the market value prevailing at the time of acquisition. [Para 9] “Legislative intent is to ensure that the land owners receive fair compensation reflective of the market value prevailing at the time of acquisition by fixing the date of 01st January, 2014 as the date for determination of market value, the impugned order deprives the Appellant of compensation at the 2023 rates, which must be considerably higher. [Para 10]

RFCTLARR Act, 2013 – Whether the High Court was right in holding that the date for determination of market value is the date of commencement of the RFCTLARR Act, 2013: Held: The legislative scheme does not give discretion to the Courts to select a date for valuation – RFCTLARR Act, 2013 expressly mandates that compensation/valuation must be determined as of the date of Notification under Section 11 of the RFCTLARR Act, 2013 – The date of enactment of RFCTLARR Act, 2013 i.e. 01st January, 2014 has no relevance to fresh acquisition initiated under the statute, it is only relevant for land acquisition proceedings had been initiated under the old Land Acquisition Act, 1894 and where no award had been made before the enforcement of the RFCTLARR Act, 2013. [Paras 11-12]

Keywords: Determination of market value · Legislative intent · Date of enactment

As published in the Supreme Court Reports, Supreme Court of India. Headnotes prepared by: Swathi H. Prasad, Hony. Associate Editor (Verified by: Kanu Agrawal, Adv.). Text from the Indian Supreme Court Judgments open data set (Dattam Labs), CC BY 4.0.

Full Judgment Text

Judgment Manmohan, J 1. The present Appeal has been filed challenging the impugned judgment and final order dated 21st August, 2024 passed by the High Court of Gujarat in R/Special Civil Application No. 20392 of 2023. 2. Ms. Aastha Mehta, learned counsel for the Appellant stated that the High Court had erroneously held that the date for determination of market value of yet to be acquired He-0-11-41 sq. meters land of Survey No.119 shall be 01st January, 2014 i.e., the date of commencement of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement
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