SECY.,KARNATAKA ELECTRICITY BOARD vs ASSTT COMNR.GADAG .

The Supreme Court held that in determining the market value of acquired land under the Land Acquisition Act, reliance on a solitary sale transaction for a significantly smaller piece of land was erroneous. The Court emphasized that the proper method for valuation should be the capitalization method, which considers the yield from the land, rather than a square foot basis that may undervalue the property. The Court set aside the lower courts' decisions and directed that the market value be reassessed according to the capitalization method, thereby enhancing the compensation for the landowner.