Legal Definitions - occupant statute

An occupant statute, also known as a betterment act, is a law that requires a landowner to compensate an occupant who has made improvements to the land under the mistaken belief that they are the true owner. The compensation is usually equal to the increase in the land's value generated by the improvements.

For example, if a person mistakenly believes that they own a piece of land and they build a house on it, the occupant statute would require the actual owner of the land to compensate the occupant for the value of the house. Another example would be if a tenant makes improvements to a rental property without the landlord's permission, the occupant statute would require the landlord to compensate the tenant for the value of the improvements.

These examples illustrate how the occupant statute protects individuals who have made improvements to land under a mistaken belief of ownership or with the expectation of compensation. It ensures that the rightful owner of the land does not benefit from the improvements without compensating the occupant who made them.