Supreme Court to Revisit Landmark NHAI Compensation Ruling

The Supreme Court is set to review a plea from the National Highway Authority of India (NHAI) challenging a 2019 verdict mandating compensation with interest to farmers for land acquired under the NHAI Act. The review hearing is scheduled for November 11 and involves a financial impact of Rs 32,000 crore.


Devdiscourse News Desk | New Delhi | Updated: 04-11-2025 15:47 IST | Created: 04-11-2025 15:47 IST
Supreme Court to Revisit Landmark NHAI Compensation Ruling
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In a pivotal move, the Supreme Court has consented to an open court hearing regarding the National Highway Authority of India's (NHAI) plea for reviewing a 2019 judgment. This ruling previously mandated compensatory payment with interest to farmers following the acquisition of their land under the NHAI Act.

The legal bench, comprising Justices Surya Kant and Ujjal Bhuyan, has issued a notice for the hearing set to occur on November 11. Solicitor General Tushar Mehta, representing NHAI, highlighted the significant financial implications, noting a potential impact of around Rs 32,000 crore contrary to the earlier cited amount of Rs 100 crore.

The core of the court's 2019 decision challenged by NHAI revolved around the retrospective application of compensation concerning land acquisitions completed between 1997 and 2015. The ruling addressed the inequality engendered by Section 3J of the NHAI Act, deemed unconstitutional, which previously denied such compensatory entitlements.

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