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This Act provides the procedure and principles for land readjustment. The document consists of 5 Chapters that contain 35 Paragraphs. This Act provides the procedure and principles for land readjustment. The provisions of the Administrative Procedure Act (RT I 2001, 58, 354; 2002, 53, 336; 61, 375) apply to the administrative proceedings prescribed in this Act, taking account of the specifications provided for in this Act. For the purposes of this Act, “land readjustment” means activities with the aim of creating opportunities for the more expedient use and administration of immovables located in areas of dispersed settlement by the performance of land readjustment activities. Land readjustment activities are reallotment, exchange and division of immovables, ascertainment of restrictions on immovable property ownership and determination of boundaries of immovables. Land readjustment is based on land readjustment requirements, the intended use of immovables determined by physical planning, the rights of the owners of immovables and the public interest. Land readjustment and supervision thereover: 1) Land readjustment in the territory of a city or rural municipality is within the competence of the local government. 2) County governors exercise state supervision over land readjustment. Chapter 1 lays down the general provisions. Chapter 2 regards parties to land readjustment. Chapter 3 deals with land readjustment. Chapter 4 regards dispute settlement. Chapter 5 lays down the final provisions.