When you receive the payment or sign any acknowledgement, you must write "Received Under Protest" on the receipt or document.

2)Provide the addresses of your father and his brother as requested by the Tahsildar. This allows the court to formally begin the process of deciding who owns which portion (apportionment) and who should receive the money.

3)Use your RTI reply as evidence. The Supreme Court has ruled that similarly situated land under the same notification should generally receive the same compensation.

4)Present the registered partition document and the Tahsildar’s prior permission for it to prove that the acquired portion specifically belongs to your father’s half

Accept compensation under protest as advised hereinabove 

then take legal proceedings to claim fair compensation 

You should not reject the compensation outright, but you must be careful in how you accept it.
You can accept the compensation under protest, which is the correct legal strategy. This means you receive the amount without giving up your right to claim higher compensation later. If you accept it without protest, the authorities may argue that you have agreed to the amount and waived your right to challenge it.
At the court hearing, you should clearly state that:
There was no proper notice served to you or the recorded pattadar
There is a title/partition clarification issue, not a denial of ownership
The compensation has been wrongly reduced due to a “dispute”
Comparable land (as per your RTI) has been given higher compensation, which shows arbitrariness
You should request the court to:
Record your claim for enhanced compensation
Refer the matter for proper adjudication of compensation (reference proceedings)
Legally, even after receiving compensation, you have the right to seek enhancement under land acquisition law, provided you have not accepted the amount as full and final settlement.
Also ensure you carry:
Title documents and partition clarification deed
Patta details and succession proof
RTI reply showing higher compensation for nearby land
Any correspondence with authorities
Your case has two strong grounds:
Violation of natural justice (no proper notice)
Discriminatory compensation compared to similarly situated land
In summary, the safest course is:
Accept compensation under protest only
Immediately pursue legal remedy for enhancement of compensation.

Your situation involves (i) acquisition proceedings, (ii) dispute as to title/apportionment, and (iii) adequacy of compensation. These are governed by the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 (assuming the acquisition is under the current regime; Railways acquisitions are generally processed through this framework today).

I will answer your core question directly first, and then the correct legal strategy.

1. Can you accept compensation now and still challenge it later?

Yes — you can accept the compensation and still seek enhancement, but this must be done carefully and under protest.

Legal position:

• Acceptance of compensation does not bar you from seeking higher compensation,
• provided you do not accept it as “full and final settlement”.

You must ensure:

• you record that the amount is accepted “under protest”, and
• you seek reference for enhancement.

If you accept compensation without protest, the authorities may argue that you have waived your right to challenge.

2. Your case has two separate disputes (very important distinction)

From your facts, there are actually two parallel issues:

(A) Title / apportionment dispute
• Between your father and your uncle (who owns which portion).
• This is why the matter is being sent to court and amount reduced as “disputed”.

(B) Compensation adequacy dispute
• You are claiming the compensation is lower than comparable land (supported by RTI).

These two are handled differently:

• Title dispute → decided by court (apportionment of compensation)
• Compensation dispute → decided through reference for enhancement

3. What will happen in court tomorrow

The notice you received is likely in a reference proceeding where:

• the authority has deposited compensation in court, and
• the court will decide who gets how much share.

This court may not automatically increase compensation unless you have specifically sought enhancement.

4. Correct legal strategy (step-by-step)

Step 1: Appear in court (very important)
Do not miss the date.

Step 2: Do NOT agree to low compensation as final
Avoid any statement that suggests:

• “I accept this as full settlement”.

Step 3: Accept amount only “under protest” (if needed)
You may:

• accept withdrawal of compensation (if permitted),
• but clearly state “accepted under protest and subject to enhancement”.

Step 4: Seek reference for enhanced compensation

Under the 2013 Act:

• you must seek a reference to the appropriate authority/court for enhancement within limitation.

This is crucial — merely being unhappy is not enough; a formal reference/application is required.

Step 5: Use your RTI evidence

Your RTI showing higher rates for nearby land is very valuable. Courts consider:

• comparable sales,
• nearby acquisitions,
• same notification period.

5. On reduction due to “dispute”

Authorities often:

• deposit amount in court when there is ownership dispute, and
• sometimes take a conservative approach.

But:

• title dispute cannot legally reduce market value compensation.
• Compensation should be determined independently of ownership disputes.

You can challenge this reduction.

6. Important caution

Do NOT:

• sign any document stating “full and final settlement”,
• give any written acceptance without protest,
• remain absent from proceedings.

7. Practical answer to your question

Yes, you may accept compensation now provided:

• it is clearly under protest, and
• you take steps to seek enhanced compensation through proper legal proceedings.

You can accept the compensation amount without losing your right to claim higher compensation, but only if it is accepted under protest. Your case involves both a title dispute (to be decided by court) and a compensation dispute (which requires a separate challenge/reference). You must appear in court, avoid full settlement acceptance, and initiate proceedings for enhancement using your RTI evidence of higher nearby land value

The Tahsildar has not rejected your claim instead they have referred it to court because of dispute (ownership + apportionment).

This is actually good for you, because the court can decide correct ownership and court can enhance compensation too.

You can accept the compensation under protest because if you accept it without protest then the government may state that you have accepted the award and waived your right to enhancement.”

You have a strong case and you can argue that no notice was served on you which is a statutory requirement under section Section 21 / 37 (notice requirement under RFCTLARR Act), that has been violated.

You can add to your arguments that you were denied opportunity to object and the acquisition procedure is defective.

The information obtained through RTI is a strong proof of higher compensation nearby.

You appear before court tomorrow without fail, missing this may delay or weaken your case.

Take time to file a detailed statement along with relevant documents to establish your claim.

Make sure that you don’t skip court, d on’t accept money silently without protest, don’t rely only on Tahsildar, don't delay filing enhancement claim.

You can accept the compensation first and still seek higher compensation, but only if you do it the correct legal way.

You have a right to seek enhancement of compensation, but this right is protected only if you don’t accept the award unconditionally.

You can consult an experienced lawyer in the local and proceed as suggested.

You need to accept it under protest 

Dear client

You should immediately go before the Court and make it clear that the process of acquisition of land was defective by not giving proper notice to the actual landholders which is against the principles of natural justice according to the Right to Fair Compensation and Transparency in Land Acquisition Act, 2013. You should also bring on record that the compensation awarded is unfair and inconsistent with the market value especially since your RTI reply shows higher compensation for nearby land. Further, declare the ownership scenario and present all the supporting documents including partition related document, tax receipt and title records so that the court can properly ascertain the entitlement.

As a matter of legal strategy, you may agree to accept the compensation amount only under protest, in order to preserve your right to seek enhanced compensation. Thereafter, you should make a reference before the competent court for enhancement of compensation on actual market value and comparable sale. Do not take the amount unconditionally, uncontroversially or it would make your claim less powerful. Given the subject of ownership dispute, the court can decide apportionment separately though this will not stop you fighting the inadequacy of compensation. Engaging a local advocate who is familiar with matters of land acquisition will make a big difference to your case.

No, do not accept the compensation without protest.

If you accept the compensation without objection, you will legally forfeit your right to claim a higher amount. Courts have consistently held that accepting payment without protest creates a presumption that you are satisfied with the award . The Karnataka High Court recently reaffirmed that if no protest is made within a reasonable period, it is deemed that the land loser has conceded to the quantum of compensation .

Instead, before accepting any payment, you must submit a formal written protest letter to the Competent Authority stating you are accepting "under protest" and reserve your right to seek enhancement. When signing any payment voucher, write "RECEIVED UNDER PROTEST" adjacent to your signature . You can then file a reference application under Section 64 of the RFCTLARR Act, 2013 before the Land Acquisition, Rehabilitation and Resettlement Authority (presided by a District Judge) within six weeks of the award to seek fair compensation . Given your RTI reply showing higher rates for nearby land, you have strong grounds to contest.