ABSTRACT
States obtain private land for development purposes through the application of powers of eminent domain – the state’s right to acquire private property, which is enshrined in law, for public – and sometimes also private – purposes. In a globalised world where investors are global and finance is increasingly international, the protection of persons in countries where investments take place is critical. Weak state laws fail to protect people irrespective of whether the source of financing for the investment is international or country-based. Due to various causes – insufficient laws, poor implementation, lack of knowledge, lengthy court cases and high costs – very few citizens are likely to approach or receive remedy through the courts. However, sound laws remain a last resort for individuals and civil society to seek recompense in the event of violations of state law. If private sector development, whether international or country-based, follows state laws and not those of the investor country, protection of people’s rights under the laws is of utmost importance. The shift by international finance institutions (IFIs) to follow country systems when land is acquired for projects raises the bar for state laws on expropriation to provide due protection to citizens.
