Mackay Ring Road and Resumptions of Land

We are currently acting for clients who have received Notices of Intention to Resume land pursuant to the Acquisition of Land Act 1967 (“the Act”) by the Department of Transport and Main Roads (“DTMR”) required for the Mackay Ring Road.

We recommend landowners contact us immediately upon receiving a Notice of Intention to Resume because there are important time limits that are triggered from receipt of the Notice which, if not met, could significantly prejudice landowners’ rights.

The Notice of Intention to Resume will be accompanied by plans depicting the area of land to be resumed.

The Notice will confirm a date, which is not less than 30 days from the date of the Notice, for the landowner to serve an Objection to the Notice if they intend to object to the resumption as proposed by DTMR, either completely or to reserve the right to further negotiate terms with DTMR.

The Objection must be drafted in a manner complying with the legislation.

In many instances, representatives of DTMR have already been working with landowners affected by the Mackay Ring Road and negotiated specific requirements of the landowners such as construction of new accesses to their land at DTMR’s expense, relocation of fences, buildings and sheds.

If this is the case, it is important that after the Notice of Intention to Resume is received that anything that DTMR has agreed to in negotiations on-site with landowners over the last year or so is documented in a written agreement.

Separate to documenting any works that DTMR are agreeing to undertake to minimise the impact of the resumption on the landowner, is the issue of compensation to be paid to the landowner for the area of the resumed land if DTMR in fact proceed with the proposed resumption.

It is important that landowners have legal assistance in negotiating the compensation including engaging their own valuation evidence as to what the compensation should be.

DTMR will agree to reimburse reasonable legal fees and valuation fees as part of any compensation agreement.

Compensation will include an amount assessed as the market value of the area of the land to be resumed based on its highest and best use at the date it is taken.  In addition to the compensation for the value of the land, compensation can also be paid for damage caused by the resumption or the exercise of any statutory powers exercised by DTMR that injuriously affects the remaining land and the landowner’s costs attributable to such disturbance.

Taxation issues such as Capital Gains Tax and GST must also be considered and we ensure the landowner’s accountant is involved in making sure any relevant taxation issue is taken into account.

If any of our clients or their family or friends have already received, or expect to receive, a Notice of Intention to Resume land relating to the Mackay Ring Road, please feel free to contact a lawyer of your choice at our firm.