Skip to main content

https://indianmasterminds.com

ADVERTISEMENT
ADVERTISEMENT

Supreme Court Highlights Unequal Treatment of Landowners in Highway Projects, Urges Centre for Reform

The Supreme Court has raised serious concerns over unequal compensation under the National Highways Act, urging the Centre to re-examine the law to ensure fair treatment for landowners under modern land acquisition regimes.
CBSE OSM Evaluation Controversy
Indian Masterminds Stories

New Delhi: The Supreme Court of India has raised serious concerns about unequal treatment in land acquisition compensation under the National Highways Act, 1956, compared with compensation under other land acquisition laws.

In a recent judgment, the Court emphasised that landowners under the National Highways Act often receive lower or unfair compensation due to structural flaws in the process and urged the Union Government to review the law and bring parity with more modern land acquisition frameworks like the 2013 RFCTLARR Act.

Supreme Court Decision on National Highways Act

A three-judge bench led by Chief Justice Surya Kant, with Justices Joymalya Bagchi and Vipul M. Pancholi, observed that landowners whose land is acquired under the National Highways Act (1956) face disadvantages not experienced by those whose lands are acquired under older or newer land acquisition laws

Read also: Explained: Supreme Court’s New SOP on Oral Arguments and How It Aims to Deliver Faster Justice

The Court pointed out that disputes over compensation under the National Highways Act are handled by government officers such as District Collectors or Commissioners — not by independent judicial bodies — which may lead to biased or legally flawed outcomes.

Major Concerns of National Highways Act

Under the National Highways Act, compensation disputes are first decided by administrative officers appointed by the government. These officers often lack specialized legal training and are burdened with other duties, making it harder to assess market value and statutory benefits fairly.

In contrast, compensation disputes under the Land Acquisition Act, 1894, and the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (RFCTLARR Act) are decided by judicial courts. 

These courts include judges who are trained to handle complex valuation issues and have broader appellate remedies available.

Limited Legal Remedies

Another concern is that appeals against arbitration decisions under the National Highways Act must be brought within the narrow framework of the Arbitration and Conciliation Act, 1996, which limits judicial review. This contrasts sharply with the more flexible judicial appeal options available under other land acquisition statutes.

Centre Asked to Review Compensation Framework

The Supreme Court recognised that the National Highways Act’s summary procedure was designed for expedient clearance of infrastructure projects. However, it noted that this purpose should not come at the cost of fundamental fairness. 

The bench suggested that equal access to judicial determination of compensation should be extended to landowners under the 1956 Act.

The Court specifically asked the Attorney General of India to examine whether legislative changes could introduce parity in compensation mechanisms without slowing down national highway development.

Background of the Case

The case before the Supreme Court arose from special leave petitions (SLPs) linked to a Punjab and Haryana High Court judgment that had struck down Sections 3G and 3J of the National Highways Act, which establish the arbitration system for compensation disputes.

With the arbitration framework temporarily revived by the Supreme Court’s stay order, landowners were left uncertain about their rights and compensation avenues. The bench restored their appeals under Section 34 of the Arbitration Act using its powers under Article 142 of the Constitution to ensure equitable outcomes for affected landowners.

Read also: Supreme Court Mining Prohibition: Mining Banned Within 1 KM of Wildlife Sanctuaries — A Massive Boost for India’s Biodiversity


Indian Masterminds Stories
Join our WhatsApp Channel
ADVERTISEMENT
ADVERTISEMENT
Related Stories
ADVERTISEMENT
ADVERTISEMENT
NEWS
Gujarat's Green Ambaji Plantation Drive: 50,000 Saplings to Be Planted Across 20 Hectares in Aravalli Ranges
Gujarat's Green Ambaji Plantation Drive: 50,000 Saplings to Be Planted Across 20 Hectares in Aravalli Ranges
bhupendra cm
Bhupendra Patel’s US, Canada Visit for Vibrant Gujarat 2027: First Gujarat CM Tour in 25 Years
JVVNL-HCL Arbitration Dispute
Former SC Judge Fights Back After Rajasthan HC Slams Tribunal, Reduces Arbitration Fees
Jodhpur Premises Safety Trial
₹316 Crore Rajasthan High Court Building Red-Flagged Over Safety Risks, Court Orders Immediate Measures
India Defence Modernisation
Explained: How Agni MIRV, Rudram-II and Pinaka Are Transforming India's Military Power
Acoustic Anti-Drone System
Meet Acoustic Anti-Drone System That Can Neutralise Drones Without Bullets, Lasers or Jamming
India-Australia Space Cooperation
India-Australia Space Cooperation Signals New Era for Global Space Exploration
DRDO NETRA-2026 Seminar
What Is Electronic Warfare? Key Takeaways From DRDO NETRA-2026 Seminar
ADVERTISEMENT
ADVERTISEMENT
Videos
Shakeel Ahmad Ganie IRS Interview
‘My Path Has Not Been Straight’: Shakeel Ahmad Ganie’s Journey to the IRS
Sumit Ramteke tn
IPS Sumit Ramteke on the Cases That Changed His Career and Shook Organized Crime | Video Interview
How NAFED is Strengthening Farmers, Markets and Food Security
How NAFED is Strengthening Farmers, Markets and Food Security
ADVERTISEMENT
UPSC Stories
Prachi Jain
A Failed Prelims, A Fractured Leg & One More Shot: How Prachi Jain Made AIR 714
Prachi Jain secured AIR 714 in UPSC CSE 2025 after setbacks, injury and two interviews, and now prepares...
Abhay Pratap Singh UPSC CAPF 2025
From 10 SSB Setbacks to UPSC CAPF AIR 191: Abhay Pratap Singh’s Journey in Uniform
After 10 SSB setbacks, postal department job and two CAPF attempts, Abhay Pratap Singh cleared UPSC CAPF...
From Engineering Desks to the Uniform: The Inspiring Journeys of UPSC CAPF 2025’s Top 5 Toppers
From Engineering Desks to the Uniform: The Inspiring Journeys of UPSC CAPF 2025’s Top 5 Toppers
Sheershoo Deb, Aryan Sheoran, Akanksha Vishwakarma, Rohan and Harsh Shankarlal Solanki prove that there...
CSR NEWS
CSR TIMES Awards
NLC India Bags Gold at CSR TIMES Awards 2026 for Over 150 Rural Infrastructure Projects 
NLCIL recognised in the Rural & Infrastructure Development category after implementing over 150 projects...
Project Bright Horizon
HPCL, Assam Rifles and Antogattva Foundation Sign MoU to Launch Project Bright Horizon in Northeast
Project Bright Horizon aims to directly impact 1,500 people and benefit 2,500 more through better learning,...
CMPDI CSR
CMPDI Partners with Frontline Global Services to Train 60 Jharkhand Youth Under CSR Initiative
 CMPDI will invest ₹73.62 lakh to provide residential Phlebotomy Technician training, helping unemployed...
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Latest
Gujarat's Green Ambaji Plantation Drive: 50,000 Saplings to Be Planted Across 20 Hectares in Aravalli Ranges
Gujarat's Green Ambaji Plantation Drive: 50,000 Saplings to Be Planted Across 20 Hectares in Aravalli Ranges
bhupendra cm
Bhupendra Patel’s US, Canada Visit for Vibrant Gujarat 2027: First Gujarat CM Tour in 25 Years
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
Videos
Shakeel Ahmad Ganie IRS Interview
Sumit Ramteke tn
How NAFED is Strengthening Farmers, Markets and Food Security
ADVERTISEMENT
ADVERTISEMENT