Model Answer -Problem -Based Question

Answer 1 (5 Marks) – Problem-Based Question

Introduction

Land acquisition for infrastructure development, while necessary for public welfare, often results
in displacement and deprivation for landowners, particularly farmers. To balance development
needs with social justice, the Right to Fair Compensation and Transparency in Land
Acquisition, Rehabilitation and Resettlement Act, 2013 (LARR Act) was enacted. The Act
emphasizes transparency, prior consent, public consultation, fair compensation, and
rehabilitation. In the present case, the acquisition of agricultural land for a highway by the
Karnataka government raises significant legal and procedural concerns.

Facts of the Case

●​ The Government of Karnataka plans to acquire 500 acres of agricultural land for
highway construction.​

●​ Landowners oppose acquisition, citing lack of consultation, absence of notice, and

inadequate compensation.​

●​ Some of the acquired land is multi-crop fertile land, raising food security concerns.​

Legal Issues

a) What steps should the government take before acquiring the land to ensure compliance with
the LARR Act, 2013?​
b) What are the rights of affected landowners regarding fair compensation and resettlement?​
c) How does the Act ensure food security while acquiring agricultural land?
Legal Provisions Involved

●​ Section 4–9: Social Impact Assessment (SIA)​

●​ Section 11–19: Preliminary Notification, hearing of objections, and final declaration​

●​ Section 26–30: Compensation determination​

●​ Section 31–42: Rehabilitation and Resettlement provisions​

●​ Section 10: Protection of food security and agricultural land​

●​ Section 64: Right to approach adjudicating authorities for grievances​

Legal Analysis

(a) Steps Required Before Land Acquisition

1.​ Social Impact Assessment (SIA)​

○​ Mandatory under Sections 4–6 before any acquisition.​

○​ Evaluates the social impact, displacement, livelihood loss, and environmental

concerns.​

○​ Public consultations and hearings must be held involving local communities.​

○​ The report is reviewed by an Expert Group for recommendations.​

2.​ Case Law: Union of India v. Shiv Raj, (2014)​

The Supreme Court ruled that failure to conduct an SIA renders the acquisition illegal.​

3.​ Preliminary Notification and Hearing (Section 11–15)​

○​ Government must issue a Preliminary Notification in the Official Gazette and

local newspapers.​

○​ Landowners must be given 60 days to file objections.​

 ○​ An Expert Group considers these objections before making recommendations.​

4.​ Final Declaration and Compensation (Sections 19 & 23)​

○​ Issued only after objections are heard.​

○​ Compensation must be deposited before taking possession.​

Application: In the present case, if the Karnataka government has failed to conduct an SIA or
did not serve proper notice, the acquisition is challengeable under Section 11 and Article 300A
(right to property) of the Constitution.

(b) Rights to Fair Compensation and Resettlement

1.​ Fair Compensation (Sections 26–30)​

○​ Based on the market value of land + 100% solatium.​

○​ A multiplier factor (1–2) is applied for rural land.​

○​ Assets, trees, wells, structures on the land must also be compensated.​

2.​ Example: If market value = ₹10 lakh/acre, final compensation can be:​
₹10 lakh + ₹10 lakh (solatium) = ₹20 lakh/acre, multiplied if rural.​
​
Case Law: Chowgule & Co. Ltd. v. State of Goa, (2018)​
SC held that compensation must consider the potential future value of land.​

3.​ Rehabilitation and Resettlement (Sections 31–42)​

○​ Entitlements include:​

■​ Alternative land or housing​

■​ Employment or annuity​

■​ One-time grants for resettlement​

 ■​ Infrastructure at resettlement site​

4.​ Right to Refuse Possession: Without full compensation, possession is illegal under
Section 38.​

(c) Food Security Protection (Section 10)

1.​ No acquisition of multi-crop land unless absolutely necessary.​

2.​ Requires identification and development of equivalent wasteland to offset loss.​

3.​ Consultation with Gram Sabha is mandatory under Section 4(1) for rural areas.​

Application: If the acquired land includes multi-crop agricultural land, and no alternative land
was considered, the acquisition violates Section 10 and can be challenged.

Conclusion

The LARR Act mandates due process, transparency, and participatory mechanisms before
acquiring land. The Karnataka government is legally obligated to conduct a proper SIA, consult
landowners, ensure fair compensation, and provide for resettlement. Acquisition of fertile
agricultural land without satisfying the requirements of Section 10 can be struck down. The
affected landowners have the right to approach the High Court under Article 226 and challenge
any procedural violations.
Answer 2 (5 Marks) – Problem-Based Question

Introduction

The aftermath of land acquisition often leads to grievances when compensation and rehabilitation
are inadequately addressed. The LARR Act, 2013 provides for institutional mechanisms like the
Rehabilitation and Resettlement Authority and the National Monitoring Committee to
ensure compliance and redressal. In this case, families displaced for a private real estate project
have approached the Authority for justice.

Facts of the Case

●​ Government-acquired land was handed over to a private real estate developer.​

●​ Displaced families allege:​

○​ Non-payment of fair compensation.​

○​ No rehabilitation or resettlement.​

●​ They have approached the Rehabilitation and Resettlement Authority.​

Legal Issues

a) What role does the Rehabilitation and Resettlement Authority play in resolving such disputes?​
b) What legal remedies do the displaced families have under the 2013 Act?​
c) How can the National Monitoring Committee intervene in this situation?

Legal Provisions Involved

●​ Sections 51–57: Constitution and powers of the R&R Authority​

●​ Sections 26–30: Fair compensation​

 ●​ Sections 31–42: Rehabilitation and resettlement entitlements​

●​ Section 48: National Monitoring Committee​

●​ Section 44: Grievance redress mechanism​

●​ Section 24: Retrospective application​

Legal Analysis

(a) Role of the Rehabilitation and Resettlement Authority

●​ Section 51: Establishes the Authority at the state level.​

●​ Section 52: Jurisdiction over all disputes related to R&R.​

●​ Section 53: Civil Court powers – can summon, investigate, and pass binding orders.​

●​ Section 57: Appeals from the Authority’s decision lie with the High Court.​

Example: If the developer failed to provide compensation or resettlement, the R&R Authority
can compel compliance and award damages.

Case Law: Narmada Bachao Andolan v. Union of India (2000)​

The Supreme Court ruled that rehabilitation is a precondition for displacement.

(b) Legal Remedies for Displaced Families

1.​ Fair Compensation (Sections 26–30)​

○​ Based on market value + solatium + multiplier.​

2.​ R&R Entitlements (Sections 31–42)​

○​ Employment, housing, alternative land, one-time grant.​

 3.​ Grievance Redress (Section 44)​

○​ Can file complaints to the Collector or directly to the R&R Authority.​

4.​ Retrospective Protection (Section 24)​

○​ If no compensation was paid before 2013, benefits under the LARR Act apply.​

Case Law: Olga Tellis v. BMC, (1985)​

Right to livelihood is protected under Article 21 of the Constitution.

(c) Role of the National Monitoring Committee (NMC)

●​ Section 48: Constituted at the central level to monitor R&R implementation.​

●​ Reviews the functioning of state-level authorities.​

●​ Can recommend corrective measures for non-compliance.​

●​ Accepts direct complaints from affected families.​

Example: If the R&R Authority delays justice or the government fails to act, affected families
can escalate the matter to the NMC.

Case Law: Sardar Sarovar Project Case (2005)​

Supreme Court emphasized the importance of institutional monitoring mechanisms for
ensuring just resettlement.

Conclusion

The LARR Act institutionalizes justice mechanisms for displaced families. The R&R Authority
serves as a powerful forum to enforce R&R rights. Displaced persons are also protected through
the National Monitoring Committee, which ensures compliance and accountability. If these
mechanisms fail, legal remedies lie before the High Court. This ensures land acquisition does
not become a tool of exploitation.