Procedures for land expropriation due to violations against land law in Vietnam from August 1, 2024

Procedures for land expropriation due to violations against land law in Vietnam from August 1, 2024
Quoc Trinh

Procedures for land expropriation due to violations against land law in Vietnam from August 1, 2024

Procedures  for  Land  Reclamation  Due  to  Violation  of  Land  Law  from  August  1,  2024

Procedures for land expropriation due to violations against land law in Vietnam from August 1, 2024 (Image from the Internet)

On July 30, 2024, the Government of Vietnam promulgated Decree 102/2024/ND-CP detailing the implementation of certain provisions of the Land Law 2024.

Procedures for land expropriation due to violations against land law in Vietnam from August 1, 2024

According to Article 32 of Decree 102/2024/ND-CP, the procedures for land expropriation due to violations of land law are as follows:

- Conditions for land expropriation due to violations of land law are stipulated in Article 81 of the Land Law 2024.

+ In cases where the violation necessitates administrative sanctions, within 30 days from the date of receiving the document from the authorized agency or person handling the administrative violation regarding the recommendation to reclaim the land due to continued violation by the land user, the land management agency shall propose to the competent state management authority to reclaim the land as per Article 83 of the Land Law 2024;

+ For violations not requiring administrative sanctions, land expropriation shall proceed following the conclusion of the authorized inspection or examination agency regarding the case for land expropriation.

- Within 30 days of receiving the document and materials from the authorized agency stipulated in Clause 1, Article 32 of Decree 102/2024/ND-CP, the land management agency shall compile the land expropriation dossier and submit it to the competent People's Committee for land expropriation. The dossier includes:

+ The proposal on land expropriation;

+ Draft Decision on land expropriation according to Form No. 01d in the Appendix issued with Decree 102/2024/ND-CP;

+ Documents from the authorized state agency specified in Clause 1, Article 32 of Decree 102/2024/ND-CP.

- Within 10 days from the date of receiving the dossier, the competent People's Committee must notify the landholder, the owner of the assets attached to the land, and relevant parties (if any) about the land expropriation. The landholder, asset owner, and relevant parties must handle the assets on the land within the period specified in the reclamation notice but not exceeding 45 days, except as provided in Point b, Clause 7, Article 32 of Decree 102/2024/ND-CP.

- Within 15 days from the end of the notification period for land expropriation stipulated in Clause 3, Article 32 of Decree 102/2024/ND-CP, the competent People's Committee must issue the land expropriation decision and direct its implementation. If the land user does not comply, coercive measures will be taken to enforce the land expropriation decision.

- Responsibilities of the landholder:

+ Comply with the land expropriation decision;

+ Hand over the land and related documents to the authorized agency/person specified in the land expropriation decision.

- Responsibilities of the competent People's Committee:

+ Notify the landholder about the land expropriation and post the notice on the provincial or district People's Committee's portal or website;

+ Direct the handling of the residual value of the investments on the land or assets attached to the land (if any) according to legal provisions;

+ Instruct the district People's Committee to enforce the land expropriation decision as stipulated in Article 39 of Decree 102/2024/ND-CP;

+ Allocate funds for enforcing the land expropriation.

- Handling assets on the land and the remaining value of the assets of the landholder:

+ In cases of land expropriation as stipulated in Clause 6, Article 81 of the Land Law 2024, the proceeds from the auction of land use rights and assets attached to the land (if any), minus enforcement and auction organization costs, will be deposited into the state budget to settle the land user's financial obligations. The remaining amount will be returned to the landholder and the owner of the assets attached to the reclaimed land;

+ In cases of land expropriation as specified in Clause 7, Article 81 of the Land Law 2024, within 12 months from the date of the land expropriation decision, the owner of the assets attached to the reclaimed land can sell their assets according to legal provisions. After this period, if the landholder is unable to sell their assets attached to the land, the State will not compensate for these assets. The asset owner must dismantle their assets and return the land to the State by the deadline stated in the land expropriation decision. If this is not done, the authorized state agency will enforce the land expropriation according to legal provisions.

If an investor purchases the assets attached to the reclaimed land, the State will allocate or lease the land according to legal provisions.

According to Article 81 of the Land Law 2024, the cases of land expropriation due to violations against land law include:

- Using land for purposes other than those assigned, leased, or recognized by the State, and continuing to violate after administrative sanctions for such misuse;

- Land users damaging the land and continuing to violate after administrative sanctions for land damage;

- Land being assigned or leased to the wrong subjects or without proper authority;

- Land transferred or gifted from someone who had been assigned or leased land, contrary to Land Law 2024 provisions;

- Land managed by the State that is encroached or occupied;

- Land users failing to fulfill financial obligations to the State;

- Annual crop land or aquaculture land left unused for 12 consecutive months, perennial crop land unused for 18 consecutive months, forest land unused for 24 consecutive months, without taking corrective actions as per administrative sanction decisions;

- Land allocated or leased by the State, or land with changed use rights, or transferred land usage rights for investment projects, left unused for 12 consecutive months after receiving land on-site, or delayed by 24 months compared to the project progress schedule. Investors can extend the land use term by up to 24 months with additional payment corresponding to the land levy, land rent for the extended period. If the investor fails to use the land within the extended term, the State will reclaim the land without compensating for the land, any attached assets, or any remaining land investments.

- The provisions in Clauses 6, 7, and 8 of Article 81 of the Land Law 2024 do not apply in cases of force majeure.

See also Decree 102/2024/ND-CP effective from August 1, 2024.

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