Lands Acquisition Act 1978

section 66

1. VALUE TO THE OWNER

Subject to this Schedule, the compensation payable to a claimant for compensation in respect of the acquisition of land under this Act is the amount that fairly compensates the claimant for the loss he has suffered, or will suffer, by reason of the acquisition of the land.

1A. RULES TO EXTEND TO NATIVE TITLE RIGHTS AND INTERESTS

To the extent possible, these rules, with the necessary modifications, are to be read so as to extend to and in relation to native title rights and interests.

2. MARKET VALUE, SPECIAL VALUE, SEVERANCE, DISTURBANCE

Subject to this Schedule, in assessing the compensation payable to a claimant in respect of acquired land the Tribunal may take into account:

(a) the consideration that would have been paid for the land if it had been sold on the open market on the date of acquisition by a willing but not anxious seller to a willing but not anxious buyer;

(b) the value of any additional advantage to the claimant incidental to his ownership, or occupation of, the acquired land;

(c) the amount of any reduction in the value of other land of the claimant caused by its severance from the acquired land by the acquisition; and

(d) any loss sustained, or cost incurred, by the claimant as a natural and reasonable consequence of:

for which provision is not otherwise made under this Act, other than costs incurred as a result of attending, participating in or being represented at consultations for the purposes of section 37(1) or mediation under section 37(4).

3. MARKET VALUE FOR USE OTHER THAN EXISTING USE

If the amount referred to in rule 2(a) is determined upon the basis of a use for a purpose which is not the purpose for which the land was used on the date of acquisition, no amount shall be allowed under rule 2(d) in respect of any:

in adapting the land for use for that other purpose.

4. CIRCUMSTANCE PECULIAR TO THE CLAIMANT

For the purposes of rule 2(d), in determining whether a particular loss sustained, or cost incurred, by a claimant is a natural and reasonable consequence of:

the Tribunal shall take into account any circumstances peculiar to the claimant.

6. DETERMINABLE INTERESTS

If, at the date of acquisition, the interest of the claimant in the land was:

the Tribunal shall take into account any reasonable prospect of renewal or continuation of the interest, and the likely terms and conditions of that renewal.

7. COST OF ACQUIRING OTHER LAND

(i) was, immediately before the date of acquisition, used for a purpose for which there is no general demand or market for land; and

(ii) but for the acquisition, would have continued to have been used for that purpose; and

(b) the claimant has acquired, or genuinely intends to acquire, other land suitable for that purpose,

the Tribunal shall take into account, in place of the amount referred to in rule 2(a), an amount ascertained by adding:

(d) the cost and losses incurred or likely to be incurred by the claimant as a result of, or incidental to, relocation,

in each case calculated at the date when, in all the circumstances, it was or would be reasonably practical for the claimant to incur the cost or losses.

(2) In assessing the amount of compensation under subrule (1) the Tribunal shall have regard to the amount, if any, by which the claimant has improved, or is likely to improve, his financial position by the relocation.

8. MATTERS NOT TO BE TAKEN INTO ACCOUNT

The Tribunal shall not take into account:

(a) any special suitability or adaptability of the acquired land for a purpose for which it could only be used:

(ii) by the Commonwealth or the Territory, a statutory corporation to which the Financial Management Act 1995 applies, or a council constituted under the Local Government Act 2019;

(b) any increase in value of the acquired land resulting from its use or development contrary to law;

(c) any increase or decrease in the amount referred to in rule 2(a) arising from:

the proposal; or

(d) any increase in the value of the land caused by construction, after the notice of proposal was served on the claimant, of any improvements on the land without the approval of the Minister.

9. INTANGIBLE DISADVANTAGES

(1) If the claimant, during the period commencing on the date on which the notice of proposal was served and ending on the date of acquisition:

(a) occupied the acquired land as his principal place of residence; and

(b) held an estate in fee simple, a life estate or a leasehold interest in the acquired land,

the amount of compensation otherwise payable under this Schedule may be increased by the amount which the Tribunal considers will reasonably compensate the claimant for intangible disadvantages resulting from the acquisition.

(2) In assessing the amount payable under subrule (1), the Tribunal shall have regard to:

(c) the inconvenience likely to be caused to the claimant by reason of his removal from the acquired land;

(d) the period after the acquisition of the land during which the claimant has been, or will be, allowed to remain in possession of the land;

(e) the period during which the claimant would have been likely to continue to reside on the land; and

(f) any other matter which is, in the Tribunal's opinion, relevant to the circumstances of the claimant.

10. MORTGAGE DEBTS

The amount of compensation payable to a mortgagee in respect of a debt secured by a mortgage over acquired land shall not exceed the amount of compensation that would be payable for the acquisition of all interests in the land if there had been no mortgage secured over that land.

11. LOANS

(1) If the amount of compensation assessed in accordance with this Schedule is insufficient to enable a claimant who occupied the acquired land as his principal place of residence continuously between the date of service of the notice of intention and the date of acquisition and:

(b) in whom an equity of redemption in respect of that land was vested; or

(iv) which contained terms and conditions prohibiting the claimant from erecting or using any building on the land other than a dwelling-house,

to purchase land to be used as a principal place of residence providing accommodation reasonably comparable with the accommodation on the acquired land, the Minister may offer to grant a loan to the claimant of an amount which, when added to the amount of compensation otherwise payable in respect of the acquired land, would be sufficient to enable the claimant to purchase land on which there is accommodation reasonably comparable with the accommodation on the acquired land.

(2) The Minister shall, when making an offer under subrule (1), specify the maximum amount of the loan he is prepared to grant.

(3) Repayment of a loan granted in accordance with this rule shall be secured by a mortgage to the Territory of the land purchased to provide the comparable accommodation.

(a) shall provide for the amount secured to be repayable forthwith if:

(ii) the claimant and his spouse or de facto partner cease to use the land as a principal place of residence; or

(iii) if both the claimant and his spouse or de facto partner have died; and

(b) shall contain such other terms and conditions as the Minister thinks fit to secure the repayment of the loan.

12. INTERPRETATION

In rules 9 and 11, a reference to a claimant includes a reference to any spouse or de facto partner of the claimant.