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Delhi Development Authority vs Shiv Kumar & Ors.

Civil Appeal · 2022 INSC 1021Decided 26 Sept 2022
Civil Appeal No. 6885 of 2022
M.R. Shah · Krishna Murari

Background

The Delhi Development Authority (DDA) and the Government of NCT of Delhi had acquired certain land, but the landowners approached the Delhi High Court claiming the acquisition had "lapsed" under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, because possession had not been taken or compensation paid for five years. The Delhi High Court agreed and declared the acquisition proceedings lapsed in four separate writ petitions, prompting DDA and the Delhi Government to appeal to the Supreme Court.

Decision Breakdown

The Supreme Court noted that after the High Court's rulings, a five-judge Constitution Bench of the Supreme Court in Indore Development Authority v. Manohar Lal (2020) had authoritatively clarified the law under Section 24(2), holding among other things that the word "or" between possession and compensation must be read as "and"/"nor," that tendering compensation is sufficient even if a landowner refuses to accept it, and that Section 24(2) does not revive stale claims or reopen concluded acquisitions. Since the Delhi High Court's judgments directly conflicted with this later Constitution Bench ruling, the Supreme Court held them unsustainable and quashed all four impugned judgments, allowing the appeals with no order as to costs.

Lesson Learnt

A "deemed lapse" of land acquisition under Section 24(2) of the 2013 Act is not automatic just because possession or compensation was delayed. Courts must apply the detailed conditions later laid down by the Supreme Court's Constitution Bench in Indore Development Authority v. Manohar Lal, and tendering compensation (even if refused) can defeat a lapse claim.

Official source (sci.gov.in)View Judgment (PDF)

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