Problem With Failure To Reach House Expropriation Agreement Or The Uncertainty Of Property Ownership

Due to a variety of reasons, there may be various problems in the house expropriation, among which one of the common issue is with the property rights, such as one of the owners of property rights has passed away, many of their heirs live in different regions or countries, their citizenships hae been changed, or one of the heirs has also died. So, how should the properties of unknown ownership be compensated when they are collected? Can the properties with disuptes on the property right be expropriated or not?

Article 26 of the Chinese Regulations on the Acquisition and Compensation of Houses on State-owned Land stipulates that if the housing expropriation department and the requisitioned person fail to reach a compensation agreement within the contract period established by the expropriation compensation scheme, or if the owner of the house is not clearly identified, the municipal or county-level people’s government shall report to the housing expropriation department for decision on the expropriation of the house in accordance with the provisions of these Regulations. Compensation decisions are made in accordance with the expropriation compensation scheme and are announced within the scope of the expropriation of the house.

The decision on compensation shall be fair, including matters relating to the compensation agreement provided for in the first paragraph of Article 25 of these Regulations.

If the requisitioned person is not satisfied with the decision on compensation, he may apply for administrative reconsideration in accordance with the law, or he may initiate administrative proceedings in accordance with the law.

In addition, Article 25 of the Regulations on the Acquisition and Compensation of Houses on State-owned Land stipulates that the housing expropriation department and the requisitioned person shall, in accordance with the provisions of these Regulations, reach an agreement regarding the method of compensation, the amount of compensation and the period of payment, the place and area of the house for the exchange of property rights, the relocation fee, the temporary settlement fee or the swing space, the loss of the suspension of the business, the period of relocation, the mode of transition and the duration of the transition, etc.

After the conclusion of the compensation agreement, if one party fails to perform the obligations stipulated in the compensation agreement, the other party may bring a lawsuit in accordance with the law.

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