The Provisions For The Quantum Of Damages Under Land Acquisition Act, 2013 Would Apply To Arbitrations Under The Resettlement Of Displaced Persons (Land Acquisition) Act, 1948: Delhi High Court

The High Court of Delhi has held that the provisions for the quantum of damages under Land Acquisition Act, 2013 (LARR Act) would apply to arbitrations under the Resettlement of Displaced Persons (Land Acquisition) Act, 1948. The Single Bench of Justice Navin Chawla has held that the provisions of the LARR Act being beneficial in nature would also apply to all the pending arbitrations under the Resettlement of Displaced Persons (Land Acquisition) Act. The Court further held that only the provisions qua the quantum of compensation under the LARR Act are made applicable and the arbitrator appointed under Section 7 of the Resettlement of Displaced Persons (Land Acquisition) Act would continue to determine the amount of compensation and not the collector under the LARR Act. Facts In the year 1953, the Respondent acquired the property of the petitioner. The Court vide an order dated 19.04.1996 passed in the CWP No. 2658 of 1993 appointed an arbitrator to determine the quantum of compensation payable to the petitioner. The said arbitrator tendered his resignation, thereafter, the petitioner filed another writ for the appointment of the substitute arbitrator. The Court directed the petitioner to make a request to the respondent for the appointment of the arbitrator. Accordingly, the petitioner requested the respondent to appoint the substitute arbitrator, however, the respondent failed to make the appointment. Afterward, the petitioner filed another writ petition for the appointment of the substitute arbitrator under Section 7(1)(b) of the Resettlement of Displaced Persons (Land Acquisition) Act, 1948 and the Court by an order dated 21.01.2021 directed the respondent to appoint the arbitrator. It is against the order dated 21,01.2021 that the applicant filed the review petition seeking review and modification of the order on the ground that in terms of the provision of the LARR Act, 2013, the quantum of compensation is to be determined by the collector, therefore, the arbitrator has no jurisdiction to decide the matter. The Court appointed an Amicus Curiae to assist the Court. The Contention of the Parties The review applicant sought a review of the order dated 21.02.2021 on the following grounds: That with the promulgation of the Repeal and Amending Act, 2016 (RAA), the Resettlement of Displaced Persons Act has been completely repealed, hence, the appointment of the arbitrator under the said act is bad in law.Section 105 of the LARR Act empowers the Central Government to extend the application of the LARR Act to acquisitions made under the Resettlement of Displaced Persons (Land Acquisition) Act, 1948 and the Government issued an order in the year 2015 to that effect.Accordingly, the quantum of compensation payable to the petitioner must be in terms of the LARR Act and only the collector under the said act can determine the compensation. Section 24 of the LARR Act begins with a non-obstante clause and empowers the collector to determine the quantum of compensation payable even under the Resettlement of Displaced Persons Act where no award is made. The respondent nos. 5,7,10,12,14 and 21 countered the submissions of the petitioner on the following grounds: Section 24 of the LARR Act which empowers the collector to determine the quantum of compensation applies only to acquisitions made under the Land Acquisition Act, 1984 and not to the acquisitions made under the Resettlement of the Displaced Persons Act, 1948. That in terms of Section 4 of the RAA, the repeal of the Resettlement of the Displaced Persons Act by RAA shall not affect the fora of determination of compensation. The application of the LARR Act to the acquisitions made under the Resettlement of the Displaced Persons Act is limited to the extent of determining the quantum of compensation and it does not oust the jurisdiction of the arbitrator. It is only the arbitrator who would determine the compensation keeping in mind the provisions of the LARR Act. The Amicus Curiae made the following submissions: Section 24 of the LARR Act only applies to acquisitions made under the Land Acquisitions Act and to no other acquisitions made under any other enactment. In terms of Section 105 of LARR Act read with the 2015 Central Government order, the provisions of LARR Act to the extent of determining the compensation are made applicable to the Resettlement of Displaced Persons Act. However, the provisions of LARR Act would only apply to acquisitions that are subsequent to the date of coming into force of the LARR Act. That in terms of Section 4 of RAA which saves all the proceedings pending under the Resettlement of Displaced Persons Act, the arbitrator appointed shall continue to determine the compensation having regard to Section 23 of the Land Acquisition Act. The respondent no. 22 countered the...

The Provisions For The Quantum Of Damages Under Land Acquisition Act, 2013 Would Apply To Arbitrations Under The Resettlement Of Displaced Persons (Land Acquisition) Act, 1948: Delhi High Court

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