Compulsory Land Acquisition and Third Party Interests under Tanzanian Land Law: The Case of Mortgagees and Tenants

Abstract

The President of the United Republic of Tanzania has power
to acquire, subject to payment of compensation, any land
where such land is required for public purpose. The
acquisition leads to extinction of both the right of occupancy
and third party land interests, such as mortgages and
leases, created out of it. Using documentary review of
legislation and other pieces of literature, the paper explores
the extent to which the law in Tanzania treats third party
interests generally and leases and mortgages in particular
as far as eligibility for payment of compensation is
concerned. It is concluded that despite the fact that
mortgagees and tenants have proprietary interests in land,
laws relating to compulsory land acquisition in Tanzania
focus on holders of the right of occupancy. The paper
recommends amendments to relevant laws so that third
party interests generally and mortgages and leases in
particular are accorded the requisite attention in the
compulsory acquisition process; especially eligibility for
payment of compensation.

Key words: compensation, compulsory acquisition, leases,
mortgages, right of occupancy, third party land
interests