Prepared by the London office (Holborn Gate, 330 High Holborn, London, WC1V 7QH), this note outlines the principal legal regimes, typical procedural features and practical risk areas associated with land acquisition in Bangladesh. It is intended for in-house counsel, lenders, developers and other international stakeholders seeking a high‑level orientation to the topic; it does not provide legal advice for particular transactions.

Legal framework and statutory instruments

The statutory architecture governing compulsory acquisition of immovable property in Bangladesh is centred on the Acquisition and Requisition of Immovable Property Ordinance, 1982, read alongside older land statutes such as the State Acquisition and Tenancy Act, 1950 and ancillary rules and regulations. These instruments set out the purposes for which the State may acquire land, procedural steps, notice requirements and the basis for compensation.

Key structural themes that commonly arise include:

• Reliance on registered records and proof of ownership (record of rights and registered titles).
• Compensation methodologies that reference registered values, often supplemented by statutory premiums.
• Limited statutory provisions for non‑titled occupants, informal settlers or customary users, which gives rise to social and resettlement considerations beyond pure compensation.

Typical procedural features and practical issues

The acquisition process is typically administered by district authorities and involves preliminary notifications, valuation and formal vesting. In practice, stakeholders should be alert to procedural delay, discrepancies between registered and market values, gaps in land records and competing claims — all of which can affect timing and cost.

Common transactional issues include:

• Undertakings about relocation, livelihood restoration or transitional support for affected persons are often negotiated outside the statutory framework.
• Encumbrances and overlapping interests (leases, customary rights) that do not appear on title searches.
• Valuation disputes arising from reliance on registered transaction values rather than contemporaneous market evidence.

Due diligence, risk allocation and social governance

For international investors and financiers, due diligence should go beyond standard title checks to include on‑the‑ground verification, stakeholder mapping and analysis of resettlement exposure. Environmental and social governance (ESG) obligations — including those under international lender standards — commonly influence transaction structure and timing.

Risk allocation techniques often used in cross‑border transactions include conditional completion mechanisms, escrow arrangements for disputed compensation, and contractual indemnities addressing latent claims. Public‑private projects frequently benefit from early engagement with relevant authorities and community stakeholders to mitigate delay and reputational risk.

Practical checklist

• Confirm land records: obtain up‑to‑date record of rights and any registry extracts.
• Carry out physical verification: identify occupants, informal users and any adverse possession issues.
• Assess valuation basis: compare registered values, recent transactions and market appraisals.
• Map encumbrances: check for leases, easements, charges and pending litigation.
• Consider social impacts: identify resettlement needs, livelihood risks and plan stakeholder engagement.
• Structure protections: consider escrow, completion conditions and contractual remedies for compensation shortfalls.

Jurisdiction and sources

• Acquisition and Requisition of Immovable Property Ordinance, 1982 (Bangladesh)
• State Acquisition and Tenancy Act, 1950 (Bangladesh)
• Ministry of Land and Ministry of Law, Justice and Parliamentary Affairs (Bangladesh government publications and Gazettes)
• Land records and survey departments; Supreme Court of Bangladesh jurisprudence
• International standards: World Bank safeguard policies and IFC Performance Standards (where relevant to project finance)

General information only; not legal advice and not a substitute for advice on a particular matter.