Land Acquisition – Balancing the needs of two parties

In this two part series, Liew Siew Pen explains the legal framework and procedures governing compulsory land acquisition


The law of land acquisition is principally concerned with the rules governing the procedures to be followed in acquiring the land by compulsory means and with the awarding of compensation to the dispossessed landowner.

The rights of a property owner in Malaysia are governed by the following legislations:-

1) The Federal Constitution;
2) The National Land Code 1965 /Land Ordinance (Sabah Cap 68) 1950/Sarawak Land Code (Cap.81) 1958;
3) The Land Acquisition Act 1960/Land Acquisition Ordinance (Sabah Cap. 69) 1950/Part IV of the Sarawak Land Code (Cap.81) 1958.

Under Article 13 of the Federal Constitution, the nature and extent of property rights of a person are as follows:

(1) No person shall be deprived of property save in accordance with law.
(2) No law shall provide for compulsory acquisition or use of property without adequate compensation.

The above provisions ensure that a person is not deprived of his property without adequate compensation being made.

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