When the government or a public body acquires land for a road, project or industrial park, owners and affected families have significant statutory rights. The governing law is the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (RFCTLARR Act), in force from 1 January 2014, replacing the Land Acquisition Act, 1894.
Procedure and safeguards
- Social Impact Assessment and public hearing before acquisition for most projects.
- Consent: the consent of 80% of affected families for acquisition by private companies and 70% for public-private partnership projects.
- Food security: special restrictions on acquisition of multi-cropped irrigated land.
- Objections can be filed after the preliminary notification, and the appropriate government decides on the declaration.
Compensation
Compensation is based on market value, multiplied by a factor of up to two in rural areas depending on distance from urban centres as notified by the state, plus a solatium equal to 100% of the compensation, plus interest at 12% per year on market value from the date of the preliminary notification to the award. Value of structures, trees and other assets attached to land is also included.
Rehabilitation and resettlement
Affected families, including landless livelihood losers, are entitled to R&R benefits under the Second Schedule, such as a house for those displaced, a subsistence allowance, transportation cost, resettlement allowance, and either employment or an annuity or lump sum for one member of the family. Special provisions apply to Scheduled Castes and Scheduled Tribes.
Remedies if you are dissatisfied
- Seek a reference to the Land Acquisition, Rehabilitation and Resettlement Authority for enhancement of compensation, within the time prescribed after the award.
- Appeal to the High Court against the Authority's decision.
- Writ petition under Article 226 where procedure is violated. Property is a constitutional right under Article 300A.
- Lapse: in Indore Development Authority v. Manoharlal (2020), the Supreme Court held that acquisition lapses under Section 24(2) only where authorities have failed both to take possession and to pay compensation.
The Singur precedent
In Kedar Nath Yadav v. State of West Bengal (2016), the Supreme Court quashed the acquisition of about 997 acres at Singur for the Tata Motors small-car project and directed return of the land to the unwilling owners, emphasising the need for genuine public purpose and compliance with law.
Keep all revenue records, notices and bank details up to date, and seek advice before the stated deadlines expire.
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This article is for general information only and is not legal advice. Law and procedure change; please verify the current position for your specific case. Last reviewed: November 2026.