The Right to Fair Compensation and Transparency in Land

Acquisition, Rehabilitation and Resettlement Act, 2013

Submitted To:
Prof.Satender Singh Sihag

Submitted by:
Pawneet kaur
Roll no. -105/21

1
 ACKNOWLEDGEMENT
The success and final outcome of this project required a lot of guidance and assistance from
many people and I am extremely fortunate to have got this all along the completion of my
project work. Whatever I have done is only due to such guidance and assistance and I would
not forget to thank them.

I would like to express my sincere gratitude to all these individuals for mentoring and
supporting me in completing this project my subject teacher Dr. Satender Singh Sihag sir for
providing me with invaluable insights and direction.

To my parents, their constant encouragement, patience, and understanding have been the
pillars of my success.
I am grateful to my friends who contributed ideas and perspectives that enriched the project.

2
 CONTENTS

INTRODUCTION
BASIC FEATURES OF THE ACT
OBJECTIVE
SCOPE AND APPLICABILITY
PROCESS AND STEPS UNDER THE ACT
NOTIFICATION AND ACQUISITION(SECTIONS 11-30)
CONCLUSION
BIBLIOGRAPHY.

3
INTRODUCTION-
In India, the term "land acquisition" refers to the procedure by which the national or state
governments of India acquire property for a variety of infrastructure and economic growth
initiatives. The Right to Fair Compensation and Transparency in Land Acquisition,
Rehabilitation and Re-settlement Act (RFCTLARR), passed by the Congress government in
2013, repeals the Land Acquisition Act of 1894, which allowed the government to purchase
private land for public uses, including the construction of roads, industries, mines, and Public
Private Partnership (PPP) projects. This act was created with the intention of acquiring land for
wholly public good projects and fairly compensating the owners. Legal rights such as the Right
to fair Compensation, Right to Transparency, Right to rehabilitation, and Right to Resettlement
concerned with the land acquisition laws were incorporated in the new legislation called The
Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and
Resettlement Act, 2013.
Major issues with the 1894 Act:
- Vague definition of 'public purpose'
- Minimal compensation to landowners
- No rehabilitation or resettlement provisions
- Widespread misuse by both state and private players
- No provision for consent or social impact assessment.

BASIC FEATURES OF LAND ACQUISITION ACT

According to the Land Acquisition Act, the state can exercise its right of eminent domain
wherein it is the ultimate owner of all Land, which it can acquire for public purpose after paying
full compensations calculated on the basis of market value. Despite several amendments of the
Act after Independence, the two basic principles of Land acquisition, viz
1. public purpose, and
2. Compensation on market value remain unchanged.
The various criticisms of Land Acquisition Act in India have also centered round these two
cardinal principles. One of the major criticisms of the Land Acquisition Act is that the
expression public purpose is nowhere defined in the Act and in India the courts do not have the
power to decide whether the purpose behind a particular acquisition was a public purpose.
The court can only direct the collector to hear the objections of a person who's Land has been
acquired, but the collector may not always listen to the objection raised by the legal owner of
the land.

4
OBJECTIVE
The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitationand
Resettlement Act, 2013 (commonly known as the Land Acquisition Act, 2013) was enacted
with several key objectives to reform and improve the land acquisition process in India. Its
primary goals are:
1. Ensure Fair Compensation
The Act aims to provide fair compensation to landowners whose land is acquired. It requires
compensation to be at least twice the market value of the land in urban areas and 1.5 times the
market value in rural areas. This ensures that those whose land is taken are adequately
compensated for their loss.
2. Transparency in the Acquisition Process
The Act emphasizes transparency in the land acquisition process, ensuring that the entire
procedure is open and clear to the affected parties. The government must make public the
details of land acquisition, including the purpose, procedure, and compensation offered.
3. Rehabilitation and Resettlement
One of the key objectives of the Act is to provide rehabilitation and resettlement for those
displaced by land acquisition. It ensures that affected families are not leftwithout livelihood or
housing by offering them alternate land, financial assistance, and support for resettlement.This
includes provisions for housing, employment, and social security for displaced persons,
ensuring their well-being and helping them maintain their standard of living.
4. Ensure Land Acquisition is for Public Purpose
The Act ensures that land acquisition is only carried out for public purposes (e.g.,for
infrastructure development, public utilities, defense, or industrial projects). It safeguards
against arbitrary land grabs for private commercial purposes by requiring consultation and
consent from landowners.This includes the requirement that private companies must obtain the
consent of at least 80% of landowners affected by the acquisition.
5. Promote Sustainable Development
By addressing the socio-economic impacts on displaced persons and affected communities, the
Act aims to contribute to sustainable development. It ensures that development projects do not
come at the cost of the welfare of vulnerable communities and that they are able to rebuild their
lives.
6.Avoid Forced Displacement
The Act aims to minimize forced displacement and ensure that communities are adequately
compensated and provided with alternatives to sustain their livelihoods.By requiring proper
consultation and offering rehabilitation, the Act seeks to reduce social unrest and resistance to
land acquisition.

SCOPE AND APPLICABILITY-

5
The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation
and Resettlement Act, 2013 (RFCTLARR Act) lays down a comprehensive framework
governing land acquisition across India. It is designed to ensure that land acquisition
processes are uniform, transparent, and just, particularly for those who are affected by
displacement and livelihood loss. The scope of the Act includes not only government-led
acquisitions but also acquisitions carried out for private companies and public-private
partnership (PPP) projects, thereby covering a broad spectrum of development initiatives.
The Act is applicable to both rural and urban areas, ensuring that its protections and
provisions reach communities across geographical locations. It recognizes the diverse
nature of land use in India and provides specific guidelines to ensure that acquisition is
carried out in a manner that minimizes displacement and protects vulnerable populations.
However, the Act also clearly defines exceptions and limitations to its applicability. For
instance, it does not apply to land acquisitions made under certain special Acts, such as the
Railways Act, Atomic Energy Act, or other sector-specific legislations—unless specifically
brought under the purview of this law by notification. Furthermore, it does not interfere
with voluntary transactions such as private land purchases or sales, which are conducted
without state intervention.
The RFCTLARR Act aims to regulate land acquisition in a way that balances the
requirements of development with the principles of social justice. By clearly outlining
where, when, and how it applies, the Act ensures greater accountability and consistency
in implementation. This section explores the territorial reach, types of projects covered,
entities involved, and the conditions under which the Act is enforceable, as well as the
scenarios where it is exempted.

PROCESS AND STEPS UNDER LAND ACQUISITION

Preliminary notification
The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation, and
Resettlement Act of 2013 states that the acquisition process starts with the issue of preliminary
notification. A preliminary notification under Section 11 in rural or urban areas
shall be issued if it seems to the appropriate government that land in any area is necessary or
likely to be required for any public purpose.

6
Publication of notification-
The preliminary notification must be published in the manner described below:
1. Published in the Official Gazette;
2. In two daily newspapers published in the specified area, one of which must be in the local
dialect;
3. In the language spoken locally in the offices of the District Collector, Sub Divisional
Magistrate, and Tehsil, as well as in the Panchayat, Municipality, or Municipal Corporation;
4. Displayed on the appropriate Government's website;
In every case of land acquisition, the concerned Gram Sabha or municipality must be notified
of the details of the notification issued at a meeting specifically scheduled for this purpose as
soon as it is issued.
The notification that will be sent out must include information about the land that will be
acquired, a description of the public purpose that will be served, the reasoning for the need to
relocate the affected parties, a summary of the Social Impact Assessment Report, and
information about the administrator who will be in charge of rehabilitation and resettlement
Restraint on transaction
From the date of publication of the preliminary notice until the conclusion of the acquisition
procedures, no one may transact on or cause to be transacted on any of the lands indicated in
the notification. According to the proviso the Collector may, upon the owner of the land so
notified in the application, exempt such owner from the application of this limitation under
unusual circumstances that are documented in writing. However, the Collector shall not be
liable for any damage or harm incurred by any person as a result of his willful breach of this
article.
Survey of land
Section 12 outlines the preliminary survey of land and gives officers the authority to do it. It
should be legal for any officer, either generally or expressly authorised by such Government in
this regard, and for his servants and labourers, in order to enable the appropriate Government
to decide the area of land to be acquired.
1. to access any land in such area and survey and level it;
2. to drill or dig into the soil;
3. to carry out any additional actions required to determine whether the land is suitable for such
a purpose;
4. to outline the boundaries of the land that is being considered for acquisition and the
anticipated path of any proposed activity (if any); and
5. to mark such levels, borders, and lines by planting markers and digging trenches; and, in
cases where the survey cannot be finished, levels taken, boundaries indicated, or clear away
any part of a standing crop, fence, or jungle away.

7
Restriction
No action under sections (a) to (e) relating to land may be taken without the owner of the land
or without a person authorised in writing by the owner being present. If the owner has been
given a reasonable chance to be present during the survey and has been given at least sixty
days' notice, the survey may be conducted without the owner's presence.
Compensation for damages
According to Section 13, the officer is required to cover any damage at the time of entry
pursuant to Section 12. It is compensation for the intended harm. Damage is any harm done to
land while surveying it or performing other tasks required to determine if it may be usedfor a
public purpose.If there is a disagreement over whether the sum paid is sufficient, the officer
must immediately report the matter to the Collector or another district chief revenue officer,
whose judgment is binding.
Report on the remarks
Every objection must be submitted in writing to the collector. The Collector shall provide the
objector with an opportunity to be heard in person or by any person authorised by him or by an
Advocate, and shall submit a report to the appropriate Government containing his
recommendations on the objections, along with the record of the proceedings held by him, as
well as a separate report providing therein the approximation of the cost of land acquisition,
details regarding the number of affected families likely to be relocated, for the decision to be
made.
If concerns are raised, the collector will take them into account and, in his report to the
government, propose a course of action. The collector is required to provide a report if no
objections are raised. The government is then given the green light to continue. According to
Section 15(3), the competent government's decision regarding the objections is binding.
Scheme for rehabilitation and resettlement
The Administrator must prepare the Rehabilitation and Resettlement Scheme in accordance
with Section 16. The Administrator for Rehabilitation and Resettlement is responsible for
conducting a survey and doing a census of the affected families following the issuance of the
preliminary notification by the Collector.
* details on the lands and other immovable property each impacted household is buying;
* livelihoods lost for those who are landless and who depend heavily on the lands being
acquired;
* a list of public utilities, government structures, amenities, and infrastructure that are impacted
or are anticipated to be impacted, where relocation of impacted families is concerned;
* information on any resources that are obtained as common property.
Declaration
A final statement dismissing the claims will be made by the appropriate authorities following

8
consideration of any objections that have been raised. According to Section 19 of the new
Act, the authority must publish the final declaration within 12 months of the date the
preliminary notification under Section 11 of the Act was issued.
When the appropriate government determines that a certain piece of property is required for a
public purpose, it must be declared as such, together with a designated area known as the
"resettlement area" for the purposes of rehabilitation and resettlement of the affected families,
under the hand and seal of the Secretary to the government or of any other officer duly
authorised to certify its orders, and different declarations may be made from time to time in
respect of different parcels of any land covered by the same preliminary notification.
Publication of the declaration
Every declaration must be published in the manner described below:
1. Published in the Official Gazette;
2. In two daily newspapers published in the area, one of which must be published in the local
language;
3. At the Panchayat, Municipality, or Municipal Corporation, as appropriate, as well as at the
District Collector, Sub-divisional Magistrate, and Tehsil offices;
4. Posted on the appropriate Government's website.
Summary of rehabilitation and resettlement scheme
A summary of the Rehabilitation and Resettlement Scheme and a statement must be
published by the Collector. But unless the summary of the Rehabilitation and Resettlement
Scheme is published alongside it, no disclosure under this shall be made.
Additionally, the "requiring body" is required to provide a deposit equal to or greater than the
cost of acquiring the land, as determined by the respective authority.
According to Section 3(zb), a "requiring body" is any company, body corporate, institution,
or other organisation for which land is to be acquired by the appropriate government. This
definition also includes the appropriate government if the land is being acquired for the
government's own use or for later transfer to a company, body corporate, institution, or other
organisation for a public purpose.
The Court ruled in Habib Ahmed v. State of UP that the acquisition of the property was not
necessary for a public purpose, and hence neither the notification nor the declaration could be

9
revoked. The state government must be the exclusive authority to determine whether the land
is needed for a public purpose or not.
Public notice
In accordance with Section 21, the Collector is required to post a public notice stating that the
government intends to take possession of the land and that claims for compensation,
rehabilitation, and resettlement for all interests in such land may be requested by him on his
mail and at convenient locations on or near the land to be taken.
The public notice must outline the specifics of the needed property and demand that all
parties interested in the land come before the collector at the time and location specified in
the notice to make their claims for compensation, rehabilitation, and resettlement, as well as
any written objections.
The time frame shouldn't be less than 30 days or longer than 6 months from the day the
notification was published. If any interested party lives elsewhere and does not have an agent,
the collector will see to it that the notice is published in at least two national daily newspapers,
forwarded to him by
mail at his last known addresses of home and business, and made available on his website.
In State of Madras v. B. V. Subramania lyer (1961), the Court decided that any dispute over a
single claimant's title is included in the term "dispute." Public funds must be used to pay
compensation to the rightful owner of the property, not just to any claimant who wishes to
show up on the scene, when the government uses its power of eminent domain to acquire it.
In this regard, the government has a specific duty and cannot afterwards hide behind the
justification that the compensation was given to the claimant who showed up while others did
not.
Statement to collector
According to Section 22, the collector may also require any interested party to make or deliver
to him a statement within 30 days that includes the name of every other person who has an
interest in the land or any part of it as a co- proprietor, sub proprietor, mortgagee, tenant, or in
any other capacity, as well as information a about the type of interest they have, as well as any
rents and profits they have received or are due for the three years immediately prior to the date
of the statement.

According to the 2013 Act, the minimum payment must be a multiple of the assessed market
value of the property, the value of any attached assets, and a settlement equivalent to 100% of
the assessed market value of the property, including the value of any attached assets.

10
Compensation under the Act
According to Section 23, the collector must investigate the objections that any interested party
has raised in response to a notice given under Section 21 and the respective interests of the
people requesting compensation, rehabilitation, and resettlement, and he must then issue
an award under his signature of-
1. The actual land area;
2. The compensation calculated in accordance with Section 27 and the Rehabilitation and
Resettlement Award calculated in accordance with Section 31 and which in his opinion should
be allowed for the land; and
3. The distribution of the compensation among all parties, whether or not they have individually
appeared before him, who are known to have an interest in the land or of whose claims he is
aware.
Period for award
According to Section 25, the collector must provide an award within a year of the date the
declaration was published. If no award is issued within that time frame, the whole land
acquisition process would be abandoned. With the proviso that the appropriate government
may decide to prolong the 12-month term if, in its opinion, circumstances exist that warrant
the same; nevertheless, such a decision must be documented in writing, informed, and put on
the website of the authority involved.
Award of solatium
The collector must impose a "solatium" equal to 100% of the compensation amount after
determining the total compensation to be paid in order to determine the final award under
Section 30.
In addition to the compensation due to everyone whose land has been acquired, this solatium
sum must be paid. According to the First Schedule of the Land Acquisition Act, the collector
must issue specific awards that include information on the compensation that is due as well as
how it will be paid. In addition to the market value of the land specified in Section 26, the
collector must also award a sum calculated at a rate of 12% annually on that market value for
the period beginning on the date that the social impact assessment study was published until
the date of the award by the collector or the date that the land was actually taken into
possession, whichever comes first.
The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation,
and Resettlement Act, 2013 (RFCTLARR) represents a significant evolution in India’s
land acquisition framework. By addressing the deficiencies of the colonial-era Land
Acquisition Act, 1894, this Act attempts to create a more just, transparent, and equitable
system for land acquisition, with an emphasis on fair compensation, community consent,
and rehabilitation.

11
The Act acknowledges the human, social, and economic costs of land acquisition, seeking
to balance the government’s need for land for public infrastructure projects with the
protection of the rights of those displaced. It introduces important provisions such as social
impact assessments, mandatory consent, enhanced compensation, and rehabilitation and
resettlement measures eflecting a modern understanding of the needs and challenges of
displaced populations.
However, despite the progressive approach, the Act has faced challenges in its
implementation. These include delays in project execution, lack of awareness among
affected communities, political resistance, and weak enforcement in certain areas.
Additionally, issues like the broad definition of ‘public purpose’, emergency land
acquisition clauses, and the lack of non-economic loss compensation have led to concerns
over potential misuse or limitations in achieving true justice for displaced individuals.
To ensure the continued success of the RFCTLARR Act, it is crucial to address these
challenges through stronger monitoring, awareness campaigns, and regular amendments
based on ground realities. Ensuring the participation of local communities, fair bargaining,
and transparency in the land acquisition process will be essential for the Act to fulfill its
goal of creating a just and humane development model.
As India continues to grow rapidly in terms of infrastructure and urbanization, the role of
land acquisition laws will remain central. The RFCTLARR Act, 2013, if applied
effectively, can become a transformative tool for balancing the needs of development with
the rights of individuals, ensuring that progress does not come at the cost of justice. With
careful and fair implementation, this law holds the potential to set a global benchmark for
fair and inclusive land acquisition practices.

12
BIBLIOGRAPHY

1.Ghatak,Maitreesh., & Ghosh, Pratikshit. (2011), The Land Acquisition Bill: A

Critique and A Proposal, Centre for Development
Economics. http://www.cdedse.org/pdf/work204.pdf

2. Goswami, Amlanjyoti. (2012). Land Acquisition, Rehabilitation

http://jihs.co.in/wpcontent/uploads/2013/11/Land Acquisition Law and Politics
_Amlanjyoti_Goswami.pdf

3. Jojan, Alphonso. (2012). Of Platitudes and Million-Dollar Promises - A Critique Of

The Land Acquisition, Rehabilitation And Resettlement Bill 2011, JILS. http://jils.ac.in/wp-
content/uploads/2012/09/3_alphonso-jojan-c.pdf

4. Morris, Sebastian., & Pandey, Ajay. (2010). The Question of Land and Infrastructure
Development in India: Urgently Required Reforms for Fairness and Infrastructural
Development, Indian Institute of Management,
Ahemdabad. http://www.iimahd.ernet.in/publications/data/2010-03-02Morris.pd

5.Raghuram, G., & Varkkey, B. (2002). Governance issues in Airport Development

6.Mahawar, P. (2022). Land Acquisition and Displacement in India: A Critical

Analysis. Oxford University Press.

7.Das, A. (2018). "Land Acquisition Laws and the Changing Landscape of India’s
Development". Economic and Political Weekly, 53(45), 23-31

13