STATE OF MAHARASHTRA & ORS. versus RELIANCE INDUSTRIES LTD. & ORS.

Citation: [2017] 10 S.C.R. 330 · Decided: 15-09-2017 · Supreme Court of India · Bench: ARUN MISHRA · Disposal: Appeal(s) allowed
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Judgment (excerpt)

A 
B 
[2017] 10 S.C.R. 330 
STATE OF MAHARASHTRA & ORS. 
v. 
RELIANCE INDUSTRIES LTD. & ORS. 
(Civil Appeal No. 1699 of2007) 
SEPTEMBER 15, 2017 
[ARUN MISHRA AND 
MOHAN M. SHANTANAGOUDAR, JJ.J 
Land Acquisition Act, 1894: 
C 
ss. 3(a) and 49 - Acquisition of part of building - Without 
acquiring land underneath such building - When the ownership of 
the land lies with the Government - Permissibility- Held: Definition 
of 'land' under s. 3 (a) is of wide connotation - The definition includes 
benefits arising out of land and things .attached to the earth or 
D permanently fastened to anything attached to the earth - Since the 
owner of the building is different from the owner of the land, and if 
portion of that building is required/or public purpose, it is open to 
the State to acquire that portion of building u!s. 49 - Only the interest 
belonging to the owner has to be acquired - Government itse(f being 
the owner of the land, is not required to acquire the land - It was 
E required only to acquire the private interest (in the building) - Such 
acquisition would not amount to overreach of the State's power of 
eminent domain or violation of Art. 300A of the Constitution -
Constitution of India - Art. 300A. 
F 
Interpretation of Statutes: 
Rules of interpretation - Interpretation must depend on the 
text and context - A statute is best i11te17Jreted when one knows why 
it was enacted - The Act must be looked at as a whole and 
discovered, what each Section, each clause, each phrase and each 
word was meant and designed to say as to fit into the Scheme of the 
G entire Act - No part or word of statute can be construed in isolation. 
H 
Words and Phrases: 
/iVord 'includes' - Meaning of; in the context of s. 3(a) of 
Land Acquisition Act, 1894. 
330 
STATE OF MAHARASHTRA & ORS. v. RELIANCE 
331 
INDUSTRIES LTD. & ORS. 
Allowing the appeal, the Court 
A 
HELD: 1. The definition of land is of wide connotation. It 
cannot be construed in narrow sense to render provisions. of the 
Land Acquisition Act, 1894 otiose or impracticable. The definition 
of "land" u/s. 3(a) of Land Acquisition Act is inclusive and it 
includes benefits arising out of land, and things attached to the 
B 
earth or permanently fastened to anything attached to the earth. 
Provisions of Section 49 of the Act make it clear besides the 
inclusive definition under Section 3(a), that there can be 
acquisition of part of b.uilding or house and owner has the option 
to express his desire that the whole of it should be acquired and c 
not the part, as the case may be. The court has the power to 
decide on a question being referred under the second proviso, 
whether land proposed to be taken forms part of the house, 
manufactory or building. The court has to take into consideration . · 
the question whether land proposed to be taken is reasonably 
required for the full and unimpaired use of the house, manufactory D 
or building. If the court holds otherwise, obviously the possession 
of the land shall not be taken. There can be acl}uisition of the 
house or building or manufactory under the provisions of Section 
49(1) or acquisition of part. It is not a case where any of the owners 
of the building has desired that whole 'or building be acquired. In 
case such intention would have been expressed, it would have 
been incumbent to acquire the whole of the building. [Paras 12, 
16 and 19] [342-F, G-H; 344-E-G; 349-B] 
Municipal Corporation of Greater Bombay & Ors. v. 
Indian Oil Corporation Ltd. (1991) Supp. 2 SCC 18: 
[1990] 3 Suppl. SCR 365; P. Rami Reddy & Ors. v. 
State of Andhra Pradesh & Ors. (1988) 3 SCC 433: 
[1988] 1 Suppl. SCR 443; Mrinalini Roy & Ors. v. State 
of West Bengal & Ors. 1975 (1) CLJ 57 - relied on. 
2.1 The definition of land in section 3(a) is inclusive. It has 
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F 
to be seen in the context of each and every provision in the Act 
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to find out as to the meaning to be given to the inclusive definition. 
By the interpretation given to the word 'land', there is no 
question of taking away very meaning of the land but the acquisition 
of the right in the land can only be with respect to the right of the 
H 
332 
SUPREME COURT REPORTS 
[2017] 10 S.C.R. 
A owner. Obviously, only the interest belonging to the owner has 
to be acquired and as per Section 49 of the Act, there can be 
acquisition of the part of the house, building or manufactory. Once 
option has not been exercised by the owner by insisting that whole 
of the building be ac
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