Vijay Latka v. State of Haryana
Background
The appellants' land had been acquired by the State under a 2002 notification, but they challenged the proceedings, and the High Court dismissed their writ petition on the technical ground that it was not maintainable once an award had already been passed. While the matter was pending before the Supreme Court, the appellants invoked Section 24(2) of the 2013 land acquisition law, which causes acquisition proceedings to lapse if compensation was never paid or deposited in court.
Decision Breakdown
The Supreme Court found that the State's own affidavit confirmed compensation had not actually been paid to the appellants: the authority's position was merely that the money was "available" for anyone who came to collect it, which the Court held was not legally sufficient; the law requires the acquiring authority to pay the landowner, or deposit the amount in court if there is a dispute over payee. Since no compensation had been paid or deposited, the Court held the acquisition proceedings stood lapsed under Section 24(2) of the 2013 Act, set aside the notification, declaration and award, and deemed the land denotified, while leaving open the question of whether taking "as is where is" possession satisfied the law, and clarifying the authority could still initiate fresh acquisition under the 2013 Act if needed.
Lesson Learnt
Under land acquisition law, the government cannot treat an acquisition as complete just because an award was passed: if the landowner was never actually paid (or the amount deposited in court), the entire acquisition can lapse and the land reverts to the owner.