Forfeiting a Lease

What does 'forfeiture' mean?

The word 'forfeiture' means 'to remove a lease' and return it to the:

  • Custom owner (if the land is in a rural area).
  • Government (if the land is in an urban area and is public land, e.g. clinic, school).

In what circumstance can a forfeiture be applied?

A forfeiture may be applied if a lessee does not comply with the conditions they signed in their lease. Some instances where a lessee has breached lease conditions are:

  • Failure to pay their Land Rent
  • Failure to develop the land within the first five (5) years of a lease term.
  • If the lease is registered under a company but the company fails to pay their business licence, in accordance with the law, they forfeit the lease.
  • The lessee operates a business under another lease classification which does not comply with the lease conditions (example: operating a kava bar in a residential lease.)
  • If the Government has given a notice of a fine to the lessee indicating that he has breached a lease condition but he has failed to pay the fine.

How does the Government find out whether you are complying with the conditions of your lease?

  • Government receives a complaint.
  • The Cashier of the Department of Lands checks whether you have paid your land rent.
  • The Enforcement Unit carries out an inspection on your land and makes recommendations.

What happens when the Government finds you out?

1. The Government will give you a notice of forfeiture which informs you about which lease condition you have breached and the period allowed for you to appeal this decision made against you.

2. If you do not respond within this period, the Government will proceed with the forfeiture.

How to appeal a decision by the Government on forfeiture?

1. The Government will give you a notice of forfeiture which informs you about which lease condition you have breached and the period allowed for you to appeal this decision made against you.

2. If you do not respond within this period, the Government will proceed with the forfeiture.

Where can I find more Information?

The Enforcement Unit of the Department of Lands is in charge of all information regarding forfeitures.