RATAN LAL GUPTA & ORS. vs UNION OF INDIA

The Supreme Court addressed the determination of compensation for land acquisition under the Land Acquisition Act, 1874, specifically Section 4(1). The Court held that the learned single Judge erred in averaging the market values of developed and undeveloped land, resulting in an incorrect compensation amount. The Court emphasized that the market value should reflect the true potential of the land, particularly in developed areas, and directed a reassessment of the compensation based on established principles from prior case law.