Gujarat High Court

Lapse of Acquisition Under Section 24(2) Cannot Be Invoked by Subsequent Purchasers or for Concluded Proceedings

CHANDUBHAI LAXMANBHAI PANARA vs STATE OF GUJARAT

Gujarat High CourtJUDGMENT: April 20, 20262 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The petitioner purchased the land in question via a registered sale deed dated 17.08.2009

Source reference: p. 1

land acquisition proceedings had already commenced with a Notification under Section 4 of the Land Acquisition Act, 1894, published on 11.11.2008

Source reference: p. 1

An award was subsequently declared on 29.06.2010

Source reference: p. 1-2

The petitioner refused to accept compensation, seeking instead the release of the land from acquisition

Source reference: p. 2

Discrepancies regarding the physical possession of the land arose; a DILR measurement on 27.05.2014 indicated the petitioner was possessing Survey No. 628/2 (Forest Department land acquired in 2005) rather than the acquired Survey No. 628 paiki 4 paiki 2

Source reference: p. 2-3

The petitioner filed this application in 2018 seeking a declaration that the acquisition had lapsed

Source reference: p. 3
02

Issues

1. Whether the land acquisition proceedings lapsed under Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013

Source reference: p. 3

2. Whether a subsequent purchaser of land, who acquired title after the Section 4 Notification under the 1894 Act, has the standing to challenge the acquisition proceedings

Source reference: p. 4
03

Law Applied

Section 24(2) of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013, concerning the lapsing of acquisitions initiated under the 1894 Act

Source reference: p. 3

Indore Development Authority v. Manoharlal and Others [(2020) 8 SCC 129], which settled the interpretation of Section 24(2) regarding the conditions of payment of compensation and taking of physical possession

Source reference: p. 4

the principle that a "subsequent purchaser" (one who purchases land after the issuance of a Section 4 Notification) cannot maintain a challenge against the validity of acquisition proceedings

Source reference: p. 4
04

Reasoning

The Court reasoned that the acquisition proceedings were legally concluded with the passing of the award on 29.06.2010, prior to the commencement of the 2013 Act

Source reference: p. 4

Applying the Indore Development Authority (supra) standard, the Court found no merit in the plea for lapsing

Source reference: p. 4

Crucially, the Court noted that the petitioner is a "subsequent purchaser," having bought the property on 17.08.2009, well after the Section 4 Notification was published on 11.11.2008; thus, the petitioner lacks the legal entitlement to challenge the acquisition

Source reference: p. 4

The Court further observed that factual disputes regarding the non-utilization of the land or discrepancies in possession identified by the DILR do not provide a legal basis for relief under the 2013 Act

Source reference: p. 4
05

Holding

The High Court dismissed the Special Civil Application, holding that the acquisition proceedings did not lapse and the petitioner, as a subsequent purchaser, cannot challenge the proceedings

The Court clarified that the petitioner's claim regarding non-utilization of land was irrelevant

Source reference: p. 4

the Court granted liberty to the petitioner to move an application before the competent authority for the disbursement of the compensation determined in the 2010 award, subject to strictly conducted inquiry and verification of entitlement

Source reference: p. 5
Gujarat High Court

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CHANDUBHAI LAXMANBHAI PANARAvsSTATE OF GUJARAT

Gujarat High Court · April 20, 2026

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