Sections 69 and 70 of Land Acquisition Act 2013: Determination and Form of Award

Sections 69 and 70 of the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 govern determination of compensation by the Land Acquisition, Rehabilitation and Resettlement Authority and prescribe the form and legal effect of its award.

Section 69 - Determination of award by Authority

Section 69

When determining compensation for acquired land, including Rehabilitation and Resettlement entitlements, the Authority must consider whether the Collector followed the parameters in Sections 26 to 30 and the provisions of Chapter V of the Act.

Additional amount at 12 percent per annum

In addition to the market value, Section 69(2) requires the Authority in every case to award an amount calculated at the rate of twelve percent per annum on the market value. The period runs from publication of the preliminary notification under Section 11 until the date of the Collector's award or the date of taking possession of the land, whichever is earlier.

The Explanation to Section 69(2) excludes any period during which the acquisition proceedings were held up because of a stay or injunction ordered by a court when calculating this period.

Solatium of 100 percent

Section 69(3) requires the Authority, in addition to the market value, to award a solatium of one hundred percent over the total compensation amount.

Sections 26 to 30 referred to in Section 69

ProvisionSubject
Section 26Determination of market value of land by the Collector.
Section 27Calculation of the total amount of compensation.
Section 28Parameters to be considered by the Collector in determining the award.
Section 29Determination of value of things attached to land or building.
Section 30Award of solatium and related statutory components.

Chapter V - Rehabilitation and Resettlement Award

Section 69 expressly requires consideration of the provisions of Chapter V. Chapter V contains the statutory framework for the Rehabilitation and Resettlement Award for affected families, complementing the compensation payable for acquired land.

Practical effect: In a reference concerning compensation, the Authority does not examine market value in isolation. Section 69 requires it to consider compliance with the statutory compensation parameters and Rehabilitation and Resettlement provisions, together with the additional statutory amount and solatium prescribed by the section.

Section 70 - Form of award

Section 70

Every award under this Chapter must be in writing and signed by the Presiding Officer of the Authority. It must specify the amount awarded under the first clause of Section 28, the amounts, if any, awarded under the other clauses of that section, and the grounds for awarding each amount.

Award treated as a decree

Section 70(2) provides that every such award is deemed to be a decree, and the statement of the grounds of the award is deemed to be a judgment within the meaning of Section 2(2) and Section 2(9), respectively, of the Code of Civil Procedure, 1908.

Meaning of decree and judgment under the CPC

Section 2(2) of the Code of Civil Procedure, 1908: a "decree" is the formal expression of an adjudication which, so far as the court expressing it is concerned, conclusively determines the rights of the parties with regard to all or any of the matters in controversy in the suit, subject to the inclusions and exclusions stated in that definition.

Section 2(9) of the Code of Civil Procedure, 1908: a "judgment" means the statement given by the Judge of the grounds of a decree or order.

Sections 69 and 70 in the Authority process

StageProvisionFunction
ReferenceSection 64Permits specified objections to be referred to the Authority.
Collector's recordSection 65Requires the Collector's statement and supporting schedule.
NoticeSection 66Requires notice of the date for determination of the objection.
Scope and hearingSections 67 and 68Restrict the enquiry to affected interests and require proceedings to be public.
DeterminationSection 69Sets the compensation principles to be considered and statutory additions to be awarded.
Written awardSection 70Prescribes the form, reasons and legal status of the Authority's award.

Key points

  • The Authority must examine whether the Collector followed Sections 26 to 30 and Chapter V.
  • An additional amount at twelve percent per annum on market value is payable for the statutory period specified in Section 69(2), excluding court-stay or injunction periods.
  • Solatium of one hundred percent over the total compensation amount is required by Section 69(3).
  • The award must be written, signed by the Presiding Officer and state the amounts and grounds required by Section 70.
  • The award is deemed to be a decree and its statement of grounds a judgment for the purposes specified in Section 70(2).