Supreme Court Upholds Retrospective Compensation for Land Acquisitions

The Supreme Court has reaffirmed its 2019 decision granting retrospective compensation and interest to farmers for land acquired under the NHAI Act. The bench ruled that excluding these benefits under the NHAI Act violates Article 14 of the Constitution, thus ensuring equitable treatment for all landowners.

In a landmark decision, the Supreme Court has confirmed that its 2019 judgment, which allowed for compensation and interest to farmers whose lands were acquired under the NHAI Act, will apply retrospectively. This ruling by Justices Surya Kant and Ujjal Bhuyan dismisses the National Highway Authority of India's plea for prospective implementation.

The bench emphasized the significance of 'solatium' and 'interest' as essential compensatory benefits, condemning inequalities created by Section 3J of the NHAI Act, which was ruled unconstitutional in 2019. Justice Surya Kant reiterated that implementing the decision prospectively would undermine the relief intended by the 2019 verdict.

The verdict addresses disparities affecting landowners from 1997 to 2015, ensuring all receive equitable treatment under the 2013 Act amendments. The court clarified that this decision does not reopen finalized cases but confirms compensation between 1997 and 2015.

(With inputs from agencies.)