AI Overview...
-
Diminution of Profits - Several sources discuss compensation related to the reduction in profits due to land acquisition or government actions. Claimants often demand compensation for loss of profits, standing crops, fruit trees, severance, and damages, with specific claims ranging from Rs. 10,000 to Rs. 60,000 per acre State Of Punjab, Through Land Acquisition Collector VS Hans Raj Setia (Deceased) Through Lrs. - Punjab and Haryana. Courts have recognized the right to claim damages for profits diminished between the publication of notifications under Sections 4 and 6 of the Land Acquisition Act and the taking of possession, provided evidence supports such loss Balammal VS State Of Madras - Supreme Court, The Special Deputy Collector (Land Acquisition) VS R. Durai & Others - Madras.
-
Legal Provisions and Compensation - Sections 23 and 24 of the Land Acquisition Act provide for compensation to landowners for loss, damage, or diminution of profits caused by acquisition or exercise of powers under the Act. Compensation includes losses from entries, excavations, or other authorized actions, as well as consequential damages such as expenses incurred due to forced relocation SURESH CHAND GUPTA VS ARCHAEOLOGICAL SURVEY OF INDIA - Delhi, Thakur Rangji Maharaj Virajman Mandir, Vrindavan VS Union Of India Through Its Secretary - Supreme Court, Vimal Kumar VS State of Haryana, through the Land Acquisition Collector - Punjab and Haryana.
-
Scope and Evidence of Diminution - The mere possibility of profit diminution does not automatically establish entitlement; actual loss or damage must be demonstrated with evidence. For example, in some cases, courts have found no substantial proof of damage resulting from the diminution of profits during the period between declaration and possession Balammal VS State Of Madras - Supreme Court, Krishnan (K. P. ) VS State of Bombay - Bombay.
-
Specific Cases and Limitations - In instances like slowdown or government default in delivery (e.g., arrack traders), compensation for loss of profits is recognized when a direct causal link exists. However, claims based solely on potential or hypothetical profit reduction are often rejected K. J. Thomas VS State of Kerala - Kerala.
-
Impact of Acquisition and Remedies - When land acquisition forces changes in residence or business, reasonable expenses and bona fide damages resulting from profit diminution can be claimed. The assessment considers efforts to find alternative premises and loss of goodwill, emphasizing that actual proven damages are necessary for compensation The Special Deputy Collector (Land Acquisition) VS R. Durai & Others - Madras, Vimal Kumar VS State of Haryana, through the Land Acquisition Collector - Punjab and Haryana.
-
Judicial Perspectives - Courts have acknowledged that even potential or assumed profit reduction, such as from levies or taxes, does not necessarily infringe constitutional rights unless proven to cause actual damage. The emphasis remains on concrete evidence of loss DELHI CLOTH AND GENERAL MILLS CO. LTD. , KOTA VS RAJASTHAN STATE ELECTRICITY BOARD - Rajasthan.
Analysis and Conclusion:
Claims for diminution of profits in land acquisition cases are recognized under the Land Acquisition Act, primarily when actual loss or damage is demonstrated. Compensation encompasses losses due to forced relocation, severance, or direct reduction in profits caused by government actions or acquisition. However, the burden of proof lies with claimants to substantiate their claims with concrete evidence, and mere assumptions or potential reductions are insufficient. Courts balance statutory provisions with evidentiary requirements to determine rightful compensation for profit diminution.
References:
- State Of Punjab, Through Land Acquisition Collector VS Hans Raj Setia (Deceased) Through Lrs. - Punjab and Haryana, Balammal VS State Of Madras - Supreme Court, SURESH CHAND GUPTA VS ARCHAEOLOGICAL SURVEY OF INDIA - Delhi, Thakur Rangji Maharaj Virajman Mandir, Vrindavan VS Union Of India Through Its Secretary - Supreme Court, Krishnan (K. P. ) VS State of Bombay - Bombay, K. J. Thomas VS State of Kerala - Kerala, The Special Deputy Collector (Land Acquisition) VS R. Durai & Others - Madras, Vimal Kumar VS State of Haryana, through the Land Acquisition Collector - Punjab and Haryana, DELHI CLOTH AND GENERAL MILLS CO. LTD. , KOTA VS RAJASTHAN STATE ELECTRICITY BOARD - Rajasthan
Search Results for "Diminution of Profits"
2004 0 Supreme(P&H) 1050 • India - Punjab and Haryana
G.S.SINGHVI
of profits. ... for compensation, demanding Rs. 60,000/- per acre, compensation for standing crops and fruit trees, severance, and damages for diminution ... They also claimed compensation of Rs. 20,000/- due to severance and Rs. 10,000/- as damages for diminution of the profits of the land acquired between the time of publication of notifications under Section 4 and 6 of the Act.
1968 0 Supreme(SC) 133 • India - Supreme Court
V.RAMASWAMI, P.N.BHAGWATI, RANGANATH MISRA, J.C.SHAH
of profits of land between time of publication of declaration and time of taking possession of land - High Court has awarded Rs. ... injuriously affected or earnings of owners were affected, nor is there any evidence to show that there was any damage resulting from diminution ... of the profits of the land between the time of the publication of the declaration and the time of taking possession of the land. ... of the profits of the land between the time of the publication of the declaration under S. 6 and the time of the....
2018 0 Supreme(Del) 825 • India - Delhi
VIBHU BAKHRU
diminution of profits.” ... Any owner or occupier of land who has sustained any loss or damage or any diminution of profits from the land by reason of any entry on, or excavations in, such land or the exercise of any other power conferred by this Act shall be paid compensation by the Central Government for such loss, damage or ... However, the issues arising herein may be addressed in view of the fair concession made by Learned Advocate General that the provisions of Section 24 of the Act already provide for compensation....
2025 0 Supreme(SC) 1604 • India - Supreme Court
ABHAY S. OKA, UJJAL BHUYAN
diminution of profits. ... Section 27 provides that the owner or occupier of the land who has sustained any loss or damage or any diminution of profits due to exercise of any other power conferred by the 1958 Act, shall be paid compensation by the Central Government for the extent of such loss, damage etc. ... -Any owner or occupier of land who has sustained any loss or damage or any diminution of profits from the land by reason of any entry on, or excavations in, such land or the exer....
1955 0 Supreme(Bom) 282 • India - Bombay
TENDOLKAR
So far as the claim for bonus was concerned, if the slowdown had resulted in a diminution of profits as compared with the profits of other years, the fact of such diminution may conceivably have been a relevant consideration in determining whether or not a reference should be made, but that is not the ... reason assigned by Government for refusing to make a reference, and indeed in this case there certainly has been no diminution of profits as a result of the slow-down because the peti....
1990 0 Supreme(Ker) 507 • India - Kerala
K.SUKUMARAN, G.RAJASEKHARAN
in profits due to the Government's failure to deliver the indented quantity of arrack. ... the Case: The arrack traders participated in abkari auctions and demanded compensation from the Government for the loss or diminution ... The resultant loss, or diminution in profits, is to be compensated by the Government who defaulted delivery of the indented quantity of arrack, - they demanded. The Government did not budge. It pressed for payment of the kits. ... No denudation or diminution in the power of the....
2006 0 Supreme(Mad) 1372 • India - Madras
P.D.DINAKARAN, P.P.S.JANARTHANA RAJA
of the profits of the land between the time of the publication of the declaration under Section 6 and the time of the Collector's taking possession of the land." ... fifthly, if, in consequence of the acquisition of the land by the Collector, the person interested in compelled to change his residence or place of business, the reasonable expenses (if any) incidental to such change; and ... - sixthly, the damage (if any) bona fide resulting from diminution
2013 0 Supreme(P&H) 451 • India - Punjab and Haryana
K.KANNAN
right to claim loss occasioned by having to be compelled to change place of business and bona fide damage resulting decrease of profits ... In the manner of assessment of compensation, the relevant factor as spelt out under Section 23 of the Land Acquisition Act includes a right to claim loss occasioned by having to be compelled to change the place of business and the bona fide damage resulting diminution of profits. ... The amount in excess shall attract the benefit of Sections 23(1-A), 23(2) and 28 of the Land Acquisition Act for the va....
1983 0 Supreme(Raj) 113 • India - Rajasthan
M.M.KASLIWAL
The utmost that could be said was that it would result in the diminution of profits. ... The utmost that can be said was that it would result in the diminution of profits. I find support from the following observations made by their Lordships of the Supreme Court in Nazeeria Motor Service v. ... Even on the assumption that the profits would be diminished or greatly reduced it cannot be held that there is any infringement of Art, 19 (1) (g ). " So far as the very levy of fuel surcharge is concerned, the ....
1972 0 Supreme(Kar) 93 • India - Karnataka
E.S.VENKATARAMIAH, B.VENKATASWAMI
This head of claim ordinarily has relevance to diminution of profits from a business brought about as a consequence of acquisition. ... If the subject-matter is land, the diminution in the value of land, left with the claimant, when compared with the value of the land acquired, could form the basis for compensation for severance. ... Any claim on this account has to be established by adducing evidence pointing to efforts made to secure an alternative premises, loss of goodwill on account of fall in the customers, the difference in the #HL....
Filter by Legal Phrase
