Compulsory Purchase Order

Mortgage Knowledge Base
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A compulsory purchase order (CPO) is a legal instrument that allows a public authority or utility company to acquire privately-owned land or property without the owner’s consent. CPOs are typically used to acquire land or property that is needed for a public purpose, such as the construction of a new road or the expansion of a utility network.

When a CPO is issued, the owner of the land or property is required to sell the property to the acquiring authority at a price that is determined by a government-appointed valuer. The owner is entitled to compensation for the loss of the property, which may include the value of the property, as well as any costs or damages that the owner incurs as a result of the CPO.

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