Case Note & Summary
The Supreme Court dealt with appeals arising from land acquisition proceedings initiated by the State Government of Uttar Pradesh for the development of Greater Noida. A notification under Section 4(1) read with Section 17 of the Land Acquisition Act, 1894 was issued on 30.04.1993, acquiring large tracts of land including that of the appellants. The declaration under Section 6 was made on 25.06.1993, and possession was taken between 13.08.1993 and 31.05.1994. The Special Land Acquisition Officer determined compensation at rates of Rs. 32.52, Rs. 22.44, and Rs. 16.46 per square yard. Aggrieved, the appellants sought a reference under Section 18, claiming compensation at Rs. 350 to Rs. 500 per square yard based on parity with nearby lands. The District Judge, on 09.05.2002, fixed the market value at Rs. 400 per square yard but deducted 1/3rd for development charges, resulting in Rs. 267 per square yard, plus solatium and interest. The respondent Greater Noida Industrial Development Authority appealed to the High Court, and the appellants filed cross-objections seeking further enhancement. The High Court, on 04.01.2017, confirmed the District Judge's award without considering the cross-objections. The appellants' review petition was dismissed on 05.01.2017. The Supreme Court noted that the acquisition itself was not challenged, only the quantum of compensation. The core legal issue was whether the High Court failed to consider the cross-objections under Order 41 Rule 22 CPC. The Court observed that the High Court's judgment did not reflect any application of mind to the cross-objections, which is a legal requirement. Consequently, the Supreme Court set aside the High Court's order and remanded the matter for fresh consideration of the cross-objections on merits, directing the High Court to decide them after hearing all parties. The appeals were allowed in part.
Headnote
A) Civil Procedure - Cross-Objections - Order 41 Rule 22 CPC - Appellate Court's Duty - The High Court dismissed the appeal and cross-objections without considering the merits of the cross-objections for enhancement of compensation - Held that the appellate court must consider cross-objections filed by the respondent, and failure to do so vitiates the judgment - Matter remanded for fresh consideration (Paras 12-14). B) Land Acquisition - Compensation - Enhancement - Sections 4, 6, 17, 18 Land Acquisition Act, 1894 - Market Value Determination - The appellants sought enhancement of compensation from Rs. 267/- to Rs. 400/- per square yard, but the High Court did not adjudicate their cross-objections - Held that the High Court must decide the cross-objections on merits after hearing parties (Paras 4-10).
Issue of Consideration
Whether the High Court failed to consider the cross-objections filed by the appellants seeking enhancement of compensation, and if so, what relief can be granted.
Final Decision
The Supreme Court allowed the appeals in part, set aside the High Court's order dated 05.01.2017, and remanded the matter to the High Court for fresh consideration of the cross-objections on merits, after hearing all parties.
Law Points
- Cross-objections under Order 41 Rule 22 CPC must be considered by appellate court
- Land Acquisition Act 1894 Sections 4
- 6
- 17
- 18
- Compensation determination
- Deduction for development charges



