Reviewed case brief

State of Andhra Pradesh v Star Bone Mill

(1996) 5 SCC 376

The Supreme Court distinguished between the power of acquisition and the power of resumption, holding that where the State has granted land subject to specific conditions and those conditions are violated, the State can resume the land without following the elaborate acquisition process or paying co

resumptionconditions-of-grantbreachland-reformsState-power
Court
Supreme Court of India
Year
1996
Subjects
Land Laws
Reviewed
2026-06-18

Rule established

The State can resume lands granted on specific conditions when those conditions are breached; the power of resumption is distinct from and independent of the power of acquisition

Facts

  • The Government of Andhra Pradesh granted land to Star Bone Mill for setting up an industrial unit

Issues

    Held

    • **Resumption is distinct from acquisition**; it is the taking back of what was conditionally given

    Ratio decidendi

    The power of resumption is fundamentally different from the power of eminent domain. When the State grants land subject to conditions and those conditions are breached, resumption is merely the enforcement of the terms of the grant. The grantee's title was always subject to the conditions, and upon breach, the State reclaims what it conditionally parted with. No compensation is payable because no vested unconditional right is being taken away.

    How to use it in an exam

    - Essential for distinguishing acquisition (eminent domain, compensation required) from resumption (breach of condition, no compensation)

    Editorial source

    (1996) 5 SCC 376; verified via SCC Online

    Educational summary only. Read the reported judgment or an authorised law report before relying on the case professionally.