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THE LAND ACQUISITION ACT, 1894

1.Short title, extent and commencement-
(1) This Act may be called the Land Acquisition Act, 1894.
(2) It extends to the whole of India except (the state of Jammu and Kashmir).
(3) It shall come into force on the first day of March 1894.

2. [Repeal and Saving] Rep. Partly by the Repealing and Amending Act, 1914 (10 of 1914), s.3 and Sch. II, and 
partly by the Repealing act, 1938 (1 of 1938) s.2 and Sch.

3. Definitions. - In this Act, unless there is something repugnant in the subject or context, -
(a) the expression “land” includes benefits to arise out of land, and things attached to the earth or permanently 
fastened to anything attached to the earth;
[(aa) the expression “local authority” includes a town planning authority (by whatever name called) set up under any 
law for the time being in force];
(b) the expression “person interested” includes all persons claiming an interest in compensation to be made on
account of the acquisition of land under this Act; and a person shall be deemed to be interested in land if he is 
interested in an easement affecting the land;
(c) the expression “Collector” means the Collector of a district, and includes a Deputy Commissioner and any 
officer specially appointed by the [appropriate Government] to perform the functions of a Collector under this Act;
[(cc) the expression “corporation owned or controlled by the “State” means any body corporate established by or 
under a Central, Provincial or State Act, and includes a Government company as defined in section 617 of the 
Companies Act, 1956 (1 of 1956), a society registered under the Societies Regulation Act, 1860 (21 of 1860), or 
under any corresponding law for the time being in force in a State, being a society established or administered by 
Government and a co-operative society within the meaning of any law relating to co-operative societies for the time 
being in force in any State, being a co-operative society in which not less than fifty-one per centum of the paid-up 
share capital is held by the Central Government, or by any State Government or Governments or partly by the 
Central Government and partly by one or more State Governments].
(d) the expression “Court” means a principal Civil Court of original jurisdiction unless, the [appropriate 
Government] has appointed (as it is hereby empowered to do) a special judicial officer within any specified local 
limits to perform functions of the Court under this Act;
[(e) the expression “Company” means -
(i) a company as defined in section 3 of the Companies Act, 1956 (1 of 1956), other than a Government company 
referred to in clause (cc);
(ii) a society registered under the Societies Registration Act, 1860 (21 of 1860), or under any corresponding law for 
the time being in force in a State, other than a society referred to in clause (cc);
(iii) a co-operative society within the meaning of any law relating to co-operative societies for the time being in 
force in any State, other than a co-operative society referred to in clause (cc);]
[(ee) the expression “appropriate Government” means, in relating to acquisition of land for the purposes of the 
Union, the Central Government, and, in relation to acquisition of land for any other purposes, the State 
Government;]
[(f) the expression “public purpose” includes-
(i) the provision of village-sites, or the extension, planned development or improvement of existing village-sites;
(ii) the provision of land for town or rural planning;
(iii) the provision of land for planned development of land from public funds in pursuance of any scheme or policy 
of Government and subsequent disposal thereof in whole or in part by lease, assignment or outright sale with the 
object of securing further development as planned;
(iv) the provision of land for a corporation owned or controlled by the State;
(v) the provision of land for residential purposes to the poor or landless or to persons residing in areas affected by 
natural calamities, or to persons displaced or affected by reason of the implementation of any scheme undertaken by 
Government, any local authority or a corporation owned or controlled by the State;
(vi) the provision of land for carrying out any educational, housing, health or slum clearance scheme sponsored by 
Government or by any authority established by Government for carrying out any such scheme, or with the prior 
approval of the appropriate Government, by a local authority, or a society registered under the Societies Registration 
Act, 1860 (21 of 1860), or under any corresponding law for the time being in force in a state, or a co-operative 
society within the meaning of any law relating to co-operative societies for the time being in force in any State;
(vii) the provision of land for any other scheme of development sponsored by Government or with the prior 
approval of the appropriate Government, by a local authority;
(viii) the provision of any premises or building for locating a public office, but does not include acquisition of land 
for companies;]
(g) the following persons shall be deemed person “entitled to act” as and to the extent hereinafter provided (that is to 
say)-
trustees for other persons beneficially interested shall be deemed the person entitled to act with reference to any such 
case, and that to the same extent as the person beneficially interested could have acted if free from disability.
a married woman, in cases to which the English law is applicable, shall be deemed the persons, so entitled to act, 
and whether of full age or not, to the same extent as if she were unmarried and of full age; and
the guardians of minors and the committees or managers of lunatics or idiots shall be deemed respectively the 
persons so entitled to act, to the same extent as the minors, lunatics or idiots themselves, if free from disability, 
could have acted:
Provided that –
(i) no person shall be deemed “entitled to act” whose interest in the subject matter shall be shown to the satisfaction 
of the Collector or court to be adverse to the interest of the person interested for whom he would otherwise be 
entitled to act;
(ii) in every such case the person interested may appear by a next friend or, in default of his appearance by a next 
friend, the Collector or Court, as the case may be, shall appoint a guardian for the case to act on his behalf in the 
conduct thereof;
(iii) the provisions of [Order XXXII of the First Schedule to the Code of Civil Procedure, 1908 (5 of 1908) shall, 
mutatis mutandis, apply in the case of persons interested appearing before a Collector or Court by a next friend, or 
by a guardian for the case, in proceedings under this Act; and
(iv) no person “entitled to act” shall be competent to receive the compensation money payable to the person for 
whom he is entitled to act, unless he would have been competent to alienate the land and receive and give a good 
discharge for the purchase money on a voluntary sale.

4. Publication of preliminary notification and power of officers thereupon. -
(1) Whenever it appears to the [appropriate Government] the land in any locality [is needed or] is likely to be needed 
for any public purpose [or for a company], a notification to that effect shall be published in the Official Gazette [and 
in two daily newspapers circulating in that locality of which at least one shall be in the regional language], and the 
Collector shall cause public notice of the substance of such notification to be given at convenient places in the said 
locality [(the last of the dates of such publication and the giving of such public notice , being hereinafter referred to 
as the date of the publication of the notification)].
(2) Thereupon it shall be lawful for any officer, either generally or specially authorized by such Government in this 
behalf, and for his servants and workman, -
to enter upon and survey and take levels of any land in such locality;
to dig or bore into the sub-soil;
to do all other acts necessary to ascertain whether the land is adapted for such purpose;
to set out the boundaries of the land proposed to be taken and the intended line of the work (if any) proposed to be 
made thereon;
to mark such levels, boundaries and line by placing marks and cutting trenches;
and, where otherwise the survey cannot be completed and the levels taken and the boundaries and line marked, to 
cut down and clear away any part of any standing crop, fence or jungle;
Provided that no person shall enter into any building or upon any enclosed court or garden attached to a dwelling 
house (unless with the consent of the occupier thereof) without previously giving such occupier at least seven days' 
notice in writing of his intention to do so

5. Payment for damage. - The officer so authorized shall at the time of such entry pay or tender payment for all 
necessary damaged to be done as aforesaid, and, in case of dispute as to the sufficiency of the amount so paid or 
tendered, he shall at once refer the dispute to the decision of the Collector or other chief revenue officer of the 
district, and such decision shall be final.

[Objections
5A. Hearing of objections. - (1) Any person interested in any land which has been notified under section 4, subsection (1), as being needed or likely to be needed for a public purpose or for a Company may, [within thirty days 
from the date of the publication of the notification], object to the acquisition of the land or of any land in the 
locality, as the case may be.
(2) Every objection under sub-section (1) shall be made to the Collector in writing, and the Collector shall give the 
objector an opportunity of being heard [in person or by any person authorized by him in this behalf] or by pleader 
and shall, after hearing all such objections and after making such further inquiry, if any, as he thinks necessary, 
[either make a report in respect of the land which has been notified under section 4, sub-section (1), or make 
different reports in respect of different parcels of such land, to the appropriate Government, containing his 
recommendations on the objections, together with the record of the proceedings held by him, for the decision of that 
Government]. The decision of the [appropriate Government] on the objections shall be final.
(3) For the purpose of this section, a person shall be deemed to be interested in land who would be entitled to claim 
an interest in compensation if the land were acquired under this Act.]

Declaration of intended acquisition
6. Declaration that land is required for a public purpose. -
(1) Subject to the provision of Part VII of this Act, 
[appropriate Government] is satisfied, after considering the report, if any, made under section 5A, sub-section (2)], 
that any particular land is needed for a public purpose, or for a Company, a declaration shall be made to that effect 
under the signature of a Secretary to such Government or of some officer duly authorized 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 
notification under section 4, sub-section (I) irrespective of whether one report or different reports has or have been 
made (wherever required) under section 5A, sub-section (2)];
[Provided that no declaration in respect of any particular land covered by a notification under section 4, sub-section 
(1)
(i) published after the commencement of the Land Acquisition (Amendment and Validation) Ordinance, 1967 (1 of 
1967), but before the commencement of the Land Acquisition (Amendment) Act, 1984 (68 of 1984), shall be made 
after the expiry of three years from the date of the publication of the notification; or
(ii) published after the commencement of the Land Acquisition (Amendment) Act, 1984 (68 of 1984), shall be made 
after the expiry of one year from the date of the publication of the notification:]
Provided further that] no such declaration shall be made unless the compensation to be awarded for such property is 
to be paid by a Company, or wholly or partly out of public revenues or some fund controlled or managed by a local 
authority.
[Explanation 1. - In computing any of the periods referred to in the first proviso, the period during which any action 
or proceeding to be taken in pursuance of the notification issued under section 4, sub-section (1), is stayed by an 
order of a Court shall be excluded.
Explanation 2. - Where the compensation to be awarded for such property is to be paid out of the funds of a 
corporation owned or controlled by the State, such compensation shall be deemed to be compensation paid out of 
public revenues.]
(2) [Every declaration] shall be published in the Official Gazette [and in two daily newspapers circulating in the 
locality in which the land is situated of which at least one shall be in the regional language, and the Collector shall 
cause public notice of the substance of such declaration to be given at convenient places in the said locality (the last 
of the dates of such publication and the giving of such public notice, being hereinafter referred to as the date of the 
publication of the declaration), and such declaration shall state] the district or other territorial division in which the 
land is situate, the purpose for which It is needed, its approximate area, and, where a plan shall have been made of 
the land, the place where such plan may be inspected.
(3) The said declaration shall be conclusive evidence that the land is needed for a public purpose or for a company, 
as the case may be; and, after making such declaration, the [appropriate Government] may acquire the land in 
manner hereinafter appearing.

7. After declaration, Collector to take order for acquisition. - Whenever any land shall have been so declared to be 
needed for public purpose, or for a Company, the [appropriate Government], or some officer authorized by the 
[appropriate Government] in this behalf, shall direct the Collector to take order for the acquisition of the land.

8. Land to be marked out, measured and planned. - The Collector shall thereupon cause the land (unless it has been 
already marked out under section 4) to be market out. He shall also cause it to be measured, and (if no plan has been 
made thereof), a plan to be made of the same

9. Notice to persons interested. - (1) The Collector shall then cause public notice to be given at convenient places on 
or near the land to be taken, stating that the Government intends to take possession of the land, and that claims to 
compensations for all interests in such land may be made to him.
(2) Such notice shall state the particulars of the land so needed, and shall require all persons interested in the land to 
appear personally or by agent before the Collector at a time and place therein mentioned (such time not being earlier 
than fifteen days after the date of publication of the notice), and to state the nature of their respective interests in the 
land and the amount and particulars of their claims to compensation for such interests, and their objections (if any) 
to the measurements made under section 8. The Collector may in any case require such statement to be made in 
writing and signed by the party or his agent.
(3) The Collector shall also serve notice to the same effect on the occupier (if any) of such land and on all such 
persons known or believed to be interested therein, or to entitled to act for persons so interested, as reside or have 
agents authorized to receive service on their behalf, within the revenue district in which the land is situate.
(4) In case any person so interested resides elsewhere, and has no such agent, the notice shall be sent to him by post
in letter addressed to him at his last known residence, address or place or business and [registered under sections 28 
and 29 of the Indian Post Office Act, 1898 (6 of 1898)].
 

10. Power to require and enforce the making of statements as to names and interests. -
(1) The Collector may also require any such person to make or deliver to him, at a time and place mentioned (such 
time not being earlier than fifteen days after the date of the requisition), a statement containing, so far as may be 
practicable, the name of every other person possessing any interest in the land or any part thereof as co-proprietor, 
sub-proprietor, mortgagee, tenant or otherwise, and of the nature of such interest, and of the rents and profits (if 
any), received or receivable on account thereof for three years next preceding the date of the statement.
(2) Every person required to make or deliver a statement under this section 9 shall be deemed to be legally bound to 
do so within the meaning of sections 175 and 176 of the Indian Penal Code (45 of 1860).

Enquiry into measurements, value and claims, and award by the Collector
11. Enquiry and award by Collector.
- [(1)] On the day so fixed, or on any other day to which the enquiry has been 
adjourned, the Collector shall proceed to enquire into the objection (if any) which any person interested has stated 
pursuant to a notice given under section 9 to the measurements made under section 8, and into the value of the land 
[at the date of the publication of the notification under section 4, sub-section (1)], and into the respective interests of 
the persons claiming the compensation and shall make an award under his hand of-
(i) the true area of the land;
(ii) the compensation which in his opinion should be allowed for the land; and
(iii) the apportionment of the said compensation among all the persons known or believed to be interested in the 
land, or whom, or of whose claims, he has information, whether or not they have respectively appeared before him :
[Provided that no award shall be made by the Collector under this sub-section without the previous approval of the 
appropriate Government or of such officer as the appropriate Government may authorize in this behalf:
Provided further that it shall be competent for the appropriate Government to direct that the Collector may make 
such award without such approval in such class of cases as the appropriate Government may specify in this behalf.
[(2) Notwithstanding anything contained in sub-section (1), if at any stage of the proceedings, the Collector is 
satisfied that all the persons interested in the land who appeared before him have agreed in writing on the matters to 
be included in the award of the Collector in the form prescribed by rules made by the appropriate Government, he 
may, without making further enquiry, make an award according to the terms of such agreement.
(3) The determination of compensation for any land under sub-section (2) shall not in any way affect the 
determination of compensation in respect of other lands in the same locality or elsewhere in accordance with the 
other provisions of this Act.
(4) Notwithstanding anything contained in the Registration Act, 1908 (16 of 1908), no agreement made under subsection (2) shall be liable to registration under that Act.]

11A. Period shall be which an award within made. - The Collector shall make an award under section 11 within a 
period of two years from the date of the publication of the declaration and if no award is made within that period, the 
entire proceeding for the acquisition of the land shall lapse:
Provided that in a case where the said declaration has been published before the commencement of the Land 
Acquisition (Amendment) Act, 1984 (68 of 1984), the award shall be made within a period of two years from such 
commencement.
Explanation - In computing the period of two years referred to in this section, the period during which any action or 
proceeding to be taken in pursuance of the said declaration is stayed by an order of a Court shall be excluded.]

12. Award of Collector when to be final. - (1) Such award shall be filed in the Collector's office and shall, except as 
hereinafter provided, be final and conclusive evidence, as between the Collector and the persons interested, whether 
they have respectively appeared before the Collector or not, of the true area and value of the land, and the 
appointment of the compensation among the persons interested.
(2) The Collector shall give immediate notice of his award to such of the persons interested as are not present 
personally or by their representatives when the award is made.

13. Adjournment of enquiry. - The Collector may, for any cause he thinks fit, from time to time adjourn the enquiry 
to a day to be fixed by him.

13A. Correction of clerical errors, etc. - (1) The Collector may, at any time but not later than six months from the
date of the award, or where he has been required under section 18 to make a reference to the Court, before the 
making of such reference, by order, correct any clerical or arithmetical mistakes in the award or errors arising 
therein either on his own motion or on the application of any person interested or a local authority:
Provided that no correction, which is likely to affect prejudicially any person, shall be made unless such person has 
been given a reasonable opportunity of making a representation in the matter.
(2) The Collector shall give immediate notice of any correction made in the award to all the persons interested.
(3) Where any excess amount is proved to have been paid to any person as a result of the correction made under subsection (1), the excess amount so paid shall be liable to be refunded and in the case of any default or refusal to pay, 
the same may be recovered as an arrear of land revenue.

14. Power to summon and enforce attendance of witnesses and production of documents. - For the purpose of 
enquiries under this Act the Collector shall have powers to summon and enforce the attendance of witnesses, 
including the parties interested of any of them, and to compel the production of documents by the same means, and 
(so far as may be) in the same manner as is provided in the case of a Civil Court under the 1[Code of Civil 
Procedure 1908 (5 of 1908)].

15. Matters to be considered and neglected. - In determining the amount of compensation, the collector shall be 
guided by the provisions contained in section 23 and 24

15A Power to call for records, etc. - The appropriate Government may at any time before the award is made by the 
Collector under section 11 call for any record of any proceedings (whether by way of inquiry or otherwise) for the 
purpose of satisfying itself as to the legality or propriety of any findings or order passed or as to the regularity of 
such proceedings and may pass such order or issue such direction in relation thereto as it may think fit:
Provided that the appropriate Government shall not pass or issue any order or direction prejudicial to any person 
without affording such person a reasonable opportunity of being heard.

Taking Possession
16. Power to take possession.
- When the Collector has made an award under section 11, he may take possession of 
the land, which shall thereupon [vest absolutely in the [Government]], free from all encumbrances.

17. Special powers in case of urgency. – (1) In cases of urgency whenever the [appropriate Government], so directs, 
the Collector, though no such award has been made, may, on the expiration of fifteen days from the publication of 
the notice mentioned in section 9, sub-section 1). [take possession of any land needed for a public purpose]. Such 
land shall thereupon [vest absolutely in the [Government], free from all encumbrances.
(2) Whenever, owing to any sudden change in the channel of any navigable river or other unforeseen emergency, it
becomes necessary for any Railway Administration to acquire the immediate possession of any land for the 
maintenance of their traffic or for the purpose of making thereon a river-side or ghat station, or of providing 
convenient connection with or accesses to any such station, [or the appropriate Government considers it necessary to 
acquire the immediate possession of any land for the purpose of maintaining any structure or system pertaining to 
irrigation, water supply, drainage, road communication or electricity,] the Collector may immediately after the 
publication of the notice mentioned in sub-section (1) and with the previous sanction of the [appropriate 
Government], enter upon and take possession of such land, which shall thereupon [vest absolutely in the 
[Government]] free from all encumbrances :
Provided that the Collector shall not take possession of any building or part of a building under this sub-section 
without giving to the occupier thereof at least forty-eight hours notice of his intention so to do, or such longer notice 
as may be reasonably sufficient to enable such occupier to remove his movable property from such building without 
unnecessary inconvenience.
(3) In every case under either of the preceding sub-sections the Collector shall at that time of taking possession offer 
to the persons interested compensation for the standing crops and trees (if any) on such land and from any other 
damage sustained by them caused by such sudden dispossession and not excepted in section 24; and, in case such 
offer is not accepted, the value of such crops and trees and the amount of such other damage shall be allowed for in 
awarding compensation for the land under the provisions herein contained.
3[(3A) Before taking possession of any land under sub-section (1) or sub-section (2), the Collector shall, without 
prejudice to the provisions of sub-section (3)-
(a) tender payment of eighty per centum of the compensation for such land as estimated by him to the person 
interested entitled thereto, and
(b) pay it to them, unless prevented by some one or more of the contingencies mentioned in section 31, sub-section 
(2),
and where the Collector is so prevented, the provisions of section 31, sub-section (2), (except the second proviso 
thereto), shall apply as they apply to the payment of compensation under that section.
(3B) The amount paid or deposited under section (3A), shall be taken into account for determining the amount of 
compensation required to be tendered under section 31, and where the amount so paid or deposited exceeds the 
compensation awarded by the Collector under section 11, the excess may, unless refunded within three months from 
the date of Collector's award, be recovered as an arrear of land revenue].
[(4) In the case of any land to which, in the opinion of the [appropriate Government], the provisions of sub-section 
(1) or sub-section (2) are applicable, the [appropriate Government] may direct that the provisions of section 5A shall 
not apply, and, if it does so direct, a declaration may be made under section 6 in respect of the land at any time [after 
the date of the publication of the notification] under section 4, sub-section (1).]

18. Reference to Court. - (1) Any person interested who has not accepted the award may, by 
written application to the Collector, require that the matter be referred by the Collector for the 
determination of the Court, whether his objection be to the measurement of the land, the amount 
of the compensation, the person to whom it is payable, or the apportionment of the compensation 
among the persons interested.
(2) The application shall state the grounds on which objection to the award is taken:
Provided that every such application shall be made-
(a) if the person making it was present or represented before the Collector at the time when he 
made his award, within six weeks from the date of the Collector's award;
(b) in other cases, within six weeks of the receipt of the notice from the Collector under section 
12, sub-section (2), or within six months from the date of the Collector's award, whichever 
period shall first expire.

19. Collector's statement to the court. - (1) In making the reference, the Collector shall state for 
the information of the court, in writing under his hand -
(a) the situation and extent of the land, with particulars of any trees, buildings or standing crops 
thereon;
(b) the names of the persons whom he has reason to think interested in such land;
(c) the amount awarded for damages and paid or tendered under sections 5 and 17, or either of 
them, and the amount of compensation awarded under section 11;
[(cc) the amount paid or deposited under sub-section (3A) of section 17; and]
(d) if the objection be to the amount of the compensation, the grounds on which the amount of 
compensation was determined.
(2) To the said statement shall be attached a schedule giving the particulars of the notices served 
upon, and of the statements in writing made or delivered by the parties interested respectively.

20. Service of notice. - The Court shall thereupon cause a notice specifying the day on which the 
Court will proceed to determine the objection, and directing their appearance before the Court on 
that day, to be served on the following persons, namely: -
(a) the applicant;
(b) all persons interested in the objection, except such (if any) of them as have consented without 
protest to receive payment of the compensation awarded; and
(c) If the objection is in regard to the area of the land or to the amount of the compensation, the 
Collector.

21. Restriction on scope of proceedings. - The scope of the enquiry in every such proceeding 
shall be restricted to a consideration of the interest of the persons affected by the objection.

22. Proceedings to be in open Court. - Every such proceeding shall take place in open Court, and 
all persons entitled to practice in any Civil Court in the State shall be entitled to appear, plea and 
act (as the case may be) in such proceeding.

23. Matters to be considered on determining compensation. - (1) In determining the amount of 
compensation to be awarded for land acquired under this Act, the Court shall take into 
consideration
first, the market-value of the land at the date of the publication of the [notification under section 
4, sub-section (1)];
secondly, the damage sustained by the person interested, by reason of the taking of any standing 
crops trees which may be on the land at the time of the Collector's taking possession thereof;
thirdly, the damage (if any) sustained by the person interested, at the time of the Collector's 
taking possession of the land, by reason of serving such land from his other land;
fourthly, the damage (if any) sustained by the person interested, at the time of the Collector's 
taking possession of the land, by reason of the acquisition injuriously affecting his other 
property, movable or immovable, in any other manner, or his earnings;
fifthly, in consequence of the acquisition of the land by the Collector, the person interested is 
compelled to change his residence or place of business, the reasonable expenses (if any) 
incidental to such change, and
sixthly, the damage (if any) bona fide resulting from diminution of the profits of the land 
between the time of the publication of the declaration under section 6 and the time of the 
Collector's taking possession of the land.
[(1A) In addition to the market value of the land, as above provided, the Court shall in every case 
award an amount calculated at the rate of twelve per centum per annum on such market value for 
the period commencing on and from the date of the publication of the notification under section 
4, sub-section (1), in respect of such land to the date of the award of the Collector or the date of 
taking possession of the land, whichever is earlier.
Explanation. - In computing the period referred to in this sub-section, any period or periods 
during which the proceedings for the acquisition of the land were held up on account of any stay 
or injunction by the order of any Court shall be excluded.]
(2) In addition to the market value of the land as above provided, the Court shall in every case 
award a sum of [thirty per centum] on such market value, in consideration of the compulsory 
nature of the acquisition.

24. Matters to be neglected in determining compensation. - But the Court shall not take into 
consideration -
first, the degree of urgency which has led to the acquisition;
secondly, any disinclination of the person interested to part with the land acquired;
thirdly, any damage sustained by him which, if caused by a private person, would not render 
such person liable to a suit;
fourthly, any damage which is likely to be caused to the land acquired, after the date of the 
publication of the declaration under section 6, by or in consequence of the use to which it will be 
put;
fifthly, any increase to the value of the land acquired likely to accrue from the use to which it 
will be put when acquired;
sixthly, any increase to the value of the other land of the person interested likely to accrue from 
the use to which the land acquired will be put;
seventhly, any outlay or improvements on, or disposal of the land acquired, commenced, made or 
effected without the sanction of the Collector after the date of the publication of the [notification 
under section 4, sub-section (1); [or]
[eighthly, any increase to the value of the land on account of its being put to any use, which is 
forbidden by law or opposed to public policy.]

25. Amount of compensation awarded by Court not to be lower than the amount awarded by the 
Collector.
- The amount of compensation awarded by the Court shall not be less than the amount 
awarded by the Collector under section 11.

26. Forms of awards. - [(1)] Every award under this part shall be in writing signed by the Judge, 
and shall specify the amount awarded under clause first of sub-section (1) of section 23, and also 
the amounts (if any) respectively awarded under each of the other clauses of the same subsection, together with the grounds of awarding each of the said amounts.
[(2) Every such award shall be deemed to be a decree and the statement of the grounds of every 
such award a judgment within the meaning of section 2. clause (2), and section 2, clause (9), 
respectively of the Code of Civil Procedure 1908 (5 of 1908).

27. Costs. - (1) Every such award shall also state the amount of costs incurred in the proceeding 
under this Part, and by what persons and in what proportions they are to be paid.
(2) When the award of the Collector is not upheld, the cost shall ordinarily be paid by the 
Collector, unless the Court shall be opinion that the claim of the applicant was so extravagant or 
that he was so negligent in putting his case before the Collector that some deduction from his 
costs should be made or that he should pay a part of the Collector's costs

28. Collector may be directed to pay interest on excess compensation. - If the sum, which the 
Collector did award as compensation, the award of the Court may direct that the collector shall 
pay interest on such excess at the rate of [nine per centum] per annum from the date on which he 
took possession of the land to the date of payment of such excess into Court:
[Provided that the award of the Court may also direct that where such excess or any part thereof 
is paid into Court after the date or expiry of a period of one year from the date on which 
possession is taken, interest at the rate of fifteen per centum per annum shall be payable from the 
date of expiry of the said period of one year on the amount of such excess or part thereof which 
has not been paid into Court before the date of such expiry.]

[28A. Re-determination of the amount of compensation on the basis of the award of the Court. -
(1) where in an award under this part, the court allows to the applicant any amount of 
compensation in excess of the amount awarded by the collector under section 11, the persons 
interested in all the other land covered by the same notification under section 4, sub-section (1) 
and who are also aggrieved by the award of the Collector may, notwithstanding that they had not 
made an application to the Collector under section 18, by written application to the Collector 
within three months from the date of the award of the Court require that the amount of 
compensation payable to them may be re-determined on the basis of the amount of compensation 
awarded by the court:
Provided that in computing the period of three months within which an application to the 
Collector shall be made under this sub-section, the day on which the award was pronounced and 
the time requisite for obtaining a copy of the award shall be excluded.
(2) The Collector shall, on receipt of an application under sub-section (1), conduct an inquiry 
after giving notice to all the persons interested and giving them a reasonable opportunity of being 
heard, and make an award determining the amount of compensation payable to the applicants.
(3) Any person who has not accepted the award under sub-section (2) may, by written 
application to the Collector, required that the matter be referred by the Collector for the 
determination of the Court and the provisions of sections 18 to 28 shall, so far as may be, apply 
to such reference as they apply to a reference under section 18.]

29. Particulars of apportionment to be specified. - When there are several persons interested, if 
such persons agree in the apportionment of the compensation, the particulars of such 
apportionment shall be specified in the award, and as between such persons the award shall be 
conclusive evidence of the correctness of the apportionment.

30. Dispute as to apportionment. - When the amount of compensation has been settled under 
section 11, if any dispute arises as to the apportionment of the same or any part thereof, or as to 
the persons to whom the same or any part thereof, is payable, the Collector may refer such
dispute to the decision of the Court.

31. Payment of compensation or deposit of same in Court. - (1) On making an award under 
section 11, the Collector shall tender payment of the compensation awarded by him to the 
persons interested entitled thereto according to the award and shall pay it to them unless 
prevented by some one or more of the contingencies mentioned in the next sub-section.
(2) If they shall not consent to receive it, or if there be no person competent to alienate the land, 
or if there be any dispute as to the title to receive the compensation or as to the apportionment of 
it, the Collector shall deposit the amount of the compensation in the Court to which a reference 
under section 18 would be submitted:
Provided that any person admitted to be interested may receive such payment under protest as to 
the sufficiency of the amount:
Provided also that no person who has received the amount otherwise than under protest shall be 
entitled to make any application under section 18:
Provided also that nothing herein contained shall affect the liability of any person, who may 
receive the whole or any part of any compensation awarded under this Act, to pay the same to 
the person lawfully entitled thereto.
(3) Notwithstanding anything in this section the Collector may, with the sanction of the 
[appropriate Government] instead of awarding a money compensation in respect of any land, 
make any arrangement with a person having a limited interest in such land, either by the grant of 
other lands in exchange, the remission of land-revenue on other lands held under the same title, 
or in such other way as may be equitable having regard to the interests of the parties concerned.
(4) Nothing in the last foregoing sub-section shall be construed to interfere with or limit the 
power of the Collector to enter into any arrangement with any person interested in the land and 
competent to contract in respect thereof.

32. Investment of money deposited in respect of lands belonging to person incompetent to 
alternate.
- (1) If any money shall be deposited in Court under sub-section (2) of the last 
preceding section and it appears that the land in respect whereof the same was awarded belonged 
to any person who had no power to alienate the same, the Court shall-
(a) order the money to be invested in the purchase of other lands to be held under the like title 
and conditions of ownership as the land in respect of which such money shall have been 
deposited was held, or
(b) if such purchase cannot be effected forthwith, then in such Government of other approved 
securities as the Court shall think fit;
and shall direct the payment of the interest or other proceeds arising from such investment to the 
person or persons who would for the time being have been entitled to the possession of the said 
land, and such moneys shall remain so deposited and invested until the same be applied-
(i) in the purchase of such other lands as aforesaid; or
(ii) in payment to any person or persons becoming absolutely entitled thereto.
(2) In all cases of money deposited to which this section applies the Court shall order the costs of 
the following matters, including therein all reasonable charge and expenses incident thereon, to 
be paid by the Collector, namely: -
(a) the costs of such investments as aforesaid;
(b) the costs of the orders for the payment of the interest or other proceeds of the securities upon 
which such moneys are for the time being invested, and for the payment out of Court of the 
principal of such moneys, and of all proceedings relating thereto, except such as may be 
occasioned by litigation between adverse claimants.

33. Investment of money deposited in other cases. - When any money shall have been deposited 
in Court under this Act for any cause other than mentioned in the last proceeding section, the 
court may, on the application of any party interested or claiming an interest in such money, order 
the same to be invested in such Government or other approved securities as it may think proper, 
and paid in such manner as it may consider will give the parties interested therein the same 
benefit the reform as they might have had from the land in respect whereof such money shall 
have been deposited or as near thereto as may be.

34. Payment of interest - When the amount of such compensation is not paid or deposited on or 
before taking possession of the land, the Collector shall pay the amount awarded with interest 
thereon at the rate of [nine per centum] per annum from the time of so taking possession until it 
shall have been so paid or deposited:
[Provided that if such compensation or any part thereof is not paid or deposited within a period 
of one year from the date on which possession is taken, interest at the rate of fifteen per centum 
per annum shall be payable from the date or expiry of the said period of one year on the amount 
of compensation or part thereof which has not been paid or deposited before the date of such 
expiry.]

35. Temporary occupation of waste or arable land. Procedure when difference as to compensation exists. - (1) 
Subject to the provisions of Part VII of this Act, whenever it appears to the [appropriate Government] that the 
temporary occupation and use of any waste or arable land are needed for any public purpose, or for a Company, the 
[appropriate Government] may direct the Collector to procure the occupation and use of the same for such term as it 
shall think fit, not exceeding three years from the commencement of such occupation.
(2) The Collector shall thereupon give notice in writing to the person interested in such land of the purpose for 
which the same is needed, and shall, for the occupation and use thereof for such term as aforesaid, and for the 
materials (if any) to be taken there from, pay to them such compensation, either in a gross sum of money, or by 
monthly or other periodical payments, as shall be agreed upon in writing between him and such persons 
respectively.
(3) In case the Collector and the persons interested differ as to the sufficiency of the compensation or apportionment 
thereof, the Collector shall refer such difference to the decision of the Court.

36. Power to enter and take possession and compensation on restoration. - (1) On payment of such compensation, or 
on executing such agreement, or on making a reference under section 35, the collector may enter upon and take 
possession of the land, and use or permit the use thereof in accordance with the terms of the said notice.
(2) On the expiration of the term, the Collector shall make or tender to the persons interested compensation for the 
damage (if any) done to the land and not provided for by the agreement, and shall restore the land to the persons 
interested therein:
Provided that, if the land has become permanently unfit to be used for the purpose for which it was used 
immediately before the commencement of such term, and if the persons interested shall so require, the [appropriate 
Government] shall proceed under this Act to acquire the land as if it was needed permanently for a public purpose or 
for a Company.

37. Difference as to condition of land. - In case the Collector and persons interested differ as to the condition of the 
land at the expiration of the term, or as to any matter connected with the said agreement, the Collector shall refer 
such difference to the decision of the Court.

38. [Company may be authorized to enter and survey]. Rep. by the Land Acquisition 
(Amendment) Act, 1984 (68 of 1984), s.21.

38A. Industrial concern to be deemed Company for certain purposes. - An industrial concern, 
ordinarily employing not less than one hundred workmen owned by an individual or by an 
association of individuals and not being a Company, desiring to acquire land for the erection of 
dwelling houses for workmen employed by the concern or for the provision of amenities directly 
connected therewith shall, so far as concerns the acquisition of such land, be deemed to be a 
Company for the purposes of this Part, and the references to Company in [selections 4, 5A, 6, 7 
and 50] shall be interpreted as references also to such concern

39. Previous consent of appropriate Government and execution of agreement necessary. - The 
provisions of [sections 6 to 16 (both inclusive) and sections 18 to 37 (both inclusive)] shall not 
be put in force in order to acquire land for any company [under this Part], unless with the 
previous consent of the [appropriate Government], not unless the Company shall have executed 
the agreement hereinafter mentioned.
 

40. Previous enquiry. - (1) Such consent shall not be given unless the [appropriate Government] 
be satisfied. [either on the report of the Collector under section 5A, sub-section (2), or] by an 
enquiry held as hereinafter provided, -
[(a) that the purpose of the acquisition is to obtain land for the erection of dwelling houses for 
workmen employed by the Company or for the provision of amenities directly connected 
therewith, or
[(aa) that such acquisition is needed for the construction of some building or work for a 
Company which is engaged or is taking steps for engaging itself in any industry or work which is 
for a public purpose, or]
(b) that such acquisition is needed for the construction of some work, and that such work is likely 
to prove useful to the public].
(2) Such enquiry shall be held by such officer and at such time and place as the [appropriate 
Government] shall appoint.
(3) Such officer may summon and enforce the attendance of witnesses and compel the 
production of documents by the same means and, as far as possible, in the same manner as is 
provided by the [Code of Civil Procedure, 1908 (5 of 1908)] in the case of a Civil Court.

41. Agreement with appropriate Government. - If the [appropriate Government] is satisfied [after 
considering the report, if any, of the Collector under section 5A, sub-section (2), or on the report 
of the officer making an inquiry under section 40] that [the proposed acquisition is for any of the 
purposes referred to in clause (a) or clause (aa) or clause (b) of sub-section (1) of section 40], it 
shall require the Company to enter into an agreement [with the [appropriate Government]], 
providing to the satisfaction of the [appropriate Government] for the following matters, namely :-
(1) the - [payment to the [appropriate Government]] of the cost of the acquisition;
(2) the transfer, on such payment, of the land to the Company.
(3) the terms on which the land shall be held by the Company,
[(4) where the acquisition is for the purpose of erecting dwelling houses or the provision of 
amenities connected therewith, the time within which, the conditions on which and the manner in 
which the dwelling houses or amenities shall be erected or provided;
[(4A) where the acquisition is for the construction of any building or work for a Company which 
is engaged or is taking steps for engaging itself in any industry or work which is for a public 
purpose, the time within which, and the conditions on which, the building or work shall be 
constructed or executed; and]
(5) where the acquisition is for the construction of any other work, the time within which and the 
conditions on which the work shall be executed and maintained and the terms on which the 
public shall be entitled to use the work.]

42. Publication of agreement. - Every such agreement shall, as soon as may be after its 
execution, be published in the official Gazette, and shall thereupon (so far as regards the terms 
on which the public shall be entitled to use the work) have the same effect as if it had formed 
part of this Act.

43. Section 39 to 42 not to apply where Government bound by agreement to provide land for 
Companies.
- The provisions of sections 39 to 42, both inclusive, shall not apply and the 
corresponding sections of Land Acquisition Act, 1870 (10 of 1870), shall be deemed never to 
have applied, to the acquisition of land for any Railway or other Company, for the purposes of 
which, [under any agreement with such Company, the secretary of State for India in Council, the 
Secretary of State, [the Central Government or any State Government] is or was bound to 
provide land].

44. How agreement with Railway Company may be proved. - In the case of the acquisition of 
land for the purpose of a Railway Company, the existence of such an agreement as is mentioned 
in section 43 may be proved by the production of a printed copy thereof purporting to be printed 
by order of Government.

44A. Restriction on transfer, etc. - No Company for which any land is acquired under this Part 
shall be entitled to transfer the said land or any part thereof by sale, mortgage, gift, lease or 
otherwise except with the previous sanction of the appropriate Government.

44B. Land not to be acquired under this Part except for certain purpose for private companies 
other than Government companies. -
Notwithstanding anything contained in this Act, no land 
shall be acquired under this Part, except for the purpose mentioned in clause (a) of sub-section 
(1) of section 40, for a private company, which is not a Government company.
Explanation. - "Private company" and "Government company" shall have the meaning 
respectively assigned to them in the Companies Act, 1956 (1 of 1956).]

45. Service of notices. - (1) Service of any notice under this Act shall be made by delivering or 
tendering a copy thereof signed, in the case of a notice section 4, by the officer therein 
mentioned, and, in the case of any notice, by or by order of the Collector or the Judge.
(2) Whenever it may be practicable, the service of the notice shall be made on the person therein 
named.
(3) When such person cannot be found, the service may be made on any adult male member of 
his family residing with him; and, if no such adult male member can be found, the notice may be 
served by fixing the copy on the outer door of the house in which the person therein named 
ordinarily dwells or carries on business, or by fixing a copy thereof in some conspicuous place in 
the office of the officer aforesaid or of the Collector or in the court-house, and also in some 
conspicuous part of the land to be acquired :
Provided that, if the Collector or Judge shall so direct, a notice may be sent by post, in a letter 
addressed to the person named therein at his last known residence, address or place of business 
and 6[registered under sections 28 and 29 of the Indian Post Office Act, 1898 (6 of 1898), and 
service of it may be proved by the production of the addressee's receipt.

46. Penalty for obstructing acquisition of land. - Whoever willfully obstructs any person in doing 
any of the acts authorized by section 4 or section 8, or willfully fills up, destroys, damages or 
displaces any trench or mark made under section 4, shall, on conviction before a Magistrate, be 
liable to imprisonment for any term not exceeding one month, or to fine not exceeding 1[five 
hundred rupees], or to both.

47. Magistrate to enforce surrender. - If the Collector is opposed or impeded in taking possession 
under this Act of any land, he shall, if a Magistrate, enforce the surrender of the land to himself, 
and if not a Magistrate, he shall apply to a Magistrate or (within the towns of Calcutta, Madras 
and Bombay) to the Commissioner of Police, and such Magistrate or Commissioner (as the case 
may be) shall enforce the surrender of the land to the Collector.

48. Completion of acquisition not compulsory, but compensation to be awarded when not 
completed. -
(1) Except in the case provided for in section 36, the Government shall be at liberty 
to withdraw from the acquisition of any land of which possession has not been taken.
(2) Whenever the Government withdraws from any such acquisition, the Collector shall 
determine the amount of compensation due for the damage suffered by the owner in consequence 
of the notice or of any proceedings there under, and shall pay such amount to the person 
interested, together with all costs reasonably incurred by him in the prosecution of the 
proceedings under this Act relating to the said land.
(3) The provision of Part III of this Act shall apply, so far as may be, to the determination of the 
compensation payable under this section.

49. Acquisition of part of house or building. - (1) The provisions of this Act shall not be put in 
force for the purpose of acquiring a part only of any house, manufactory or other building, if the 
owner desires that the whole of such house, manufactory or building shall be so acquired:
Provided also that, if any question shall arise as to whether any land proposed to be taken under 
this Act does or does not form part of a house, manufactory or building within the meaning of 
this section, the Collector shall refer the determination of such question to the Court and shall not 
be take possession of such land until after the question has been determined.
In deciding on such a reference the Court shall have regard to the question whether the land 
proposed to be taken, is reasonably require for the full and unimpaired use of the house, 
manufactory or building.
(2) If, in the case of any claim under section 23, sub-section (1), thirdly, by a person interested, 
on account of the severing of the land to be acquired from his other land, the [appropriate 
Government] is of opinion that the claim is unreasonable or excessive, it may, at any time before 
the Collector has made his award, order the acquisition of the whole of the land of which the 
land first sought to be acquired forms a part.
(3) In the case last hereinbefore provided for, no fresh declaration or other proceedings under 
sections 6 to 10, both inclusive, shall be necessary; but the Collector shall without delay furnish a 
copy of the order of the [appropriate Government] to the person interested, and shall thereafter 
proceed to make his award under section 11.

50. Acquisition of land at cost of a local authority of Company. - (1) Where the provisions of this 
Act are put in force for the purpose of acquiring land at the cost of any fund controlled or 
managed by a local authority or of any Company, the charges of and incidental to such 
acquisition shall be defrayed from or by such fund or company.
(2) In any proceeding held before a Collector or Court in such cases the local authority or 
Company concerned may appear and adduce evidence for the purpose of determining the amount 
of compensation.
Provided that no such local authority or Company shall be entitled to demand a reference under 
section 18.

51. Exemption from stamp duty and fees. - No award or agreement made under this Act shall be 
chargeable with stamp duty, and no person claiming under any such award or agreement shall be 
liable to pay any fee for a copy of the same

51A. Acceptance of certified copy as evidence. - In any proceeding under this Act, a certified 
copy of a document registered under the Regulation Act, 1908 (16 of 1908), including a copy 
given under section 57 of that Act, may be accepted as evidence of the transaction recorded in 
such document

52. Notice in case of suits for anything done in pursuance of Act. - No suit or other proceeding 
shall be commenced or prosecuted against any person for anything done in pursuance of this Act, 
without giving to such person a month's previous notice in writing of the intended proceeding, 
and of the cause thereof, nor after tender of sufficient amends.

53. Code of Civil Procedure to apply to proceedings before Court - Save in so far as they may be 
inconsistent with anything contained in this Act, the provisions of the [Code of Civil Procedure, 
1908 (5 of 1908)], shall apply to all proceedings before the Court under this Act

54. Appeals in proceedings before Court. - Subject to the provisions of the Code of Civil 
Procedure, 1908 (5 of 1908), applicable to appeals from original decrees, and notwithstanding 
anything to the contrary in any enactment for the time being in force, an appeal shall only lie in 
any proceedings under this Act to the High Court from the award, or from any part of the award, 
of the Court and from any decree of the High Court passed on such appeal as aforesaid an appeal 
shall lie to 4[the Supreme Court] subject to the provisions contained in section 110 of the Code 
of Civil Procedure, 1908, and in Order XLV thereof

55. Power to make rules. - (1) The [appropriate Government] shall have power to make rules 
consistent with this Act for the guidance of officers in all matters connected with its 
enforcement, and may from time to time alter and add to the rules so made:
[Provided that the power to make rules for carrying out the purposes of Part VII of this Act shall 
be exercisable by the Central Government and such rules may be made for the guidance of the 
State Governments and the officers of the Central Government and of the State Governments:
Provided further that every such rule made by the Central Government shall be laid as soon as 
may be after it is made, before each House of parliament while it is in session for a total period 
of thirty days which may be comprised in one session or two or more successive sessions, and if, 
[before the expiry of the session immediately following the session or the successive sessions 
aforesaid], both Houses agree in making any modification in the rule or both Houses agree that 
the rule should not be made, the rule shall thereafter have effect only in such modified form or be 
of no effect, as the case may be; so however that any such modification or annulment shall be 
without prejudice to the validity of anything previously done under that rule :]
[Provided also that every such rule made by the State Government shall be laid, as soon as may 
be after it is made, before the State Legislature.]
(2) The power to make, alter and add to rules under sub-section (1) shall be subject to the 
conditions of the rules, being made, altered or added to after previous publication.
(3) All such rules, alterations and additions shall be published in the Official Gazette, and shall 
thereupon have the force of law.

7. Validation of certain actuations.- Notwithstanding any judgment ,decree per order of any court, every actuation 
of land for a company made or purporting to have been made under part VII of the principle Act before the 20th day 
of July 1962 , shall,in so far as such acquisition is not for any of the purposes mentioned in clause (a) or clause (b) 
of sub-section (1) of section 40 of the principal Act, be deemed to have been made for the purpose mentioned in 
clause (aa) of the said sub-section, and accordingly every such acquisition and any proceeding, order, agreement or 
action in connection with such acquisition shall be, and shall be deemed always to have been, as valid as if the
provisions of section 40 and 41 of the principal Act, as amended by this Act, were in force at all material times when 
such acquisition was made or proceeding was held or order was made or agreement was entered into or action was 
taken.
Explanation - In this section "Company" has the same meaning as in clause (e) of section 3 of the principal Act as 
amended by this Act. 
***********
The Land Acquisition (Amendment) Act, 1984 - Extract of Section 30 - Transitional provisions.
30(1) The provisions of sub-section (1A) of section 23 of the principal Act, as inserted by Clause (a) of section 15 of 
this Act, shall apply, and shall be deemed to have applied, also to and in relation to-
(a) every proceeding for the acquisition of any land under the principal Act pending on the 30th day of April, 1982 
(the date of introduction of the Land Acquisition (Amendment) Bill in the House of people) in which no award has 
been made by the Collector before that date;
(b) every proceeding for the acquisition of any land under the principal Act commenced after that date, whether or 
not an award has been made by the Collector before the commencement of this Act.
(2) The provisions of sub-section (2) of section 23 and section 28 of the principal Act, as amended by clause (b) of 
section 15 and section 18 of this Act respectively, shall apply, and shall be deemed to have applied, also to, and 
relation to, any award made by the Collector or Court or to any order passed, by the High Court or Supreme Court in 
appeal against any such award under the provisions of the principal Act after the 30th day of April 1982 (the date of 
introduction of the Land Acquisition (Amendment) Bill 1982, in the House of the People and before the 
commencement of this Act.
(3) The provisions of section 34 of the principal Act, as amended by section 20 of this Act, shall apply, and shall 
be deemed to have applied, also to, and in relation to,
(a) every case in which possession of any land acquired under the principal Act had been taken before the 30th of 
April, 1982 (the date of introduction of the Land Acquisition (Amendment) Bill 1982, in the House of the People ), 
and the amount of compensation for such acquisition had not been paid or deposited under section 31 of the 
principal Act until such date, with effect on and from that date; and
(b) every case in which such possession had been taken on or after that date but before the commencement of this 
Act without the amount of compensation having been paid or deposited under the said section 31 with effect on and 
from the date of taking such possession.

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