LABHA RAM AND SONS vs STATE OF PUNJAB .

The Supreme Court held that the Punjab Agricultural Produce Markets Act, 1961 and the Punjab New Mandi Township (Development and Regulation) Act, 1960 empower the State Government to create new market townships but must consider the rights of existing traders. The Court found that the failure to provide concessions to existing traders in the new Mandi complex, despite their long-standing business presence, violated principles of fairness and equity. The appeals were allowed, directing the government to consider the existing traders' claims for allotment of stalls/plots in the new market areas.