Section 4
Compensation
4. Compensation : In relation to the land to be registered in the name of a peasant pursuant to Section 3, the concerned peasant shall pay the amount to be set by ten-fold of the land revenue of the land to the concerned landowner as a compensation in lump sum or in five equal installments within Five years after the date of the registration of land. Provided that,
(a) Where the peasant has undertaken to pay the amount of compensation in lump sum, the lump sum amount and the amount of first installment where undertaken has been made to pay in installments shall have to be paid until the registration of the land in his or her name and each installment thereafter shall have to be kept on being paid within One year of the date of payment of the previous installment.
(b) The peasant may pay any installment at any time prior to the time-limit by which it has to be paid.
(2) If the landowner does not receive the amount of compensation tendered for payment by the peasant, the peasant may make a deposit of the amount within the land revenue office of the area within Fifteen days
after the date of expiration of the time-limit, and if the peasant so makes a deposit accordingly, the land revenue office shall receive the same and give a receipt thereof to him or her.
(3)If the peasant makes a deposit under Sub-section (2), it shall be deemed as if he or she paid the amount of compensation to the  landowner.
(4) If the peasant makes a deposit of the amount of compensation pursuant to Sub-section (2), the land revenue office shall give a notice thereof to the landowner. If the landowner appears to receive the amount
within Thirty Five days of the date of receipt of notice, the land revenue office shall pay such amount to the landowner. If the landowner does not appear to receive the amount within the said time-limit, the amount shall
devolve on the Government of Nepal.
(5) In the event of failure to pay the other installments required to be paid pursuant to Sub-section (1), except the first installment, within the time-limit, the concerned land revenue office shall, in accordance
with the prevailing Nepal laws, make auction sale of the land registered in the name of the peasant in accordance with Section 3, and the  landowner shall get the moneys recovered from the auction sale so made