[Direct answer]In the Beijing area, the compensation for the demolition of farms typically includes six items: buildings and ancillary facilities (pig pens, chicken coops, feed warehouses, etc., evaluated at the replacement cost of new structures); land compensation (corresponding rights to contracted or leased land); losses from relocating and disposing of livestock and poultry (relocation fees for existing livestock or the price difference for low-price disposal); equipment and facilities losses (removable equipment can be dismantled and transported, while non-removable equipment is evaluated at its residual value); losses from production and business suspension (income losses during the shutdown and relocation period); and relocation transition costs. Legal farms are fully compensated according to statutory acquisition standards; for forcibly demolished farms, the compensation must not be lower than the compensation standards for similar farms. The amount of compensation ultimately depends on the appraisal and negotiation between the parties involved.
1. Problem background and typical scenarios
The designation of prohibited breeding areas, environmental protection rectification, and project expropriation — the demolition of farms is much more complicated than that of ordinary residential buildings: how to value the pigs, chickens, and ducks in the enclosures, whether the feed warehouses count as buildings, and whether compensation is provided for losses during the shutdown period. Each of these issues is subject to controversy. Many farmers end up receiving far less compensation than their actual losses, and the problem often stems from "not knowing what to claim".
II. Key points of dispute
Firstly, a complete list of compensation items. Secondly, the evaluation criteria for livestock and poultry losses and facility damage. Thirdly, the differences between the prohibition of livestock farming and the closure of facilities and the expropriation of projects. Fourthly, the compensation standards for illegal demolitions.
III. Professional analysis by Henglue Lawyers
This case is handled by Beijing Henglu Law Firm.He NingningAttorney (Practice Certificate No.: 11101202511925103, subject to the certificate issued by the judicial administrative authority): **First Level**: 1. **Compensation for Buildings and Ancillary Facilities**: - Pig pens, chicken coops, feed warehouses, and fencing/watering pools are appraised at the **replacement cost of new structures** (not discounted as "temporary buildings"). Legally approved permanent structures are valued at standard rates. - **Land**: Compensation for contracted management rights or losses from terminated leases (anticipated benefits of remaining lease terms). - **Livestock**: Inventory value is converted to market prices for relocation/disposal costs (special value of pregnant sows and offspring must be separately listed). - **Equipment**: Demolition/transportation fees or residual value of automated feeding, temperature control, and manure treatment systems. - **Production Interruption Losses**: Based on recent three-year operating income or industry averages to cover shutdown/relocation costs during production disruptions. - **Transition Fees**: Costs of relocation/rental during new site construction. **Second Level**: - **Evaluation Procedures**: - **Evaluation Timing**: Announcement date vs. actual demolition date (market fluctuations directly impact compensation). - **Inventory Verification**: Obtain written confirmation and photos/videos before demolition to prevent **underestimation of quantities**. - **Facility Age and Use**: Discount rates for replacement cost. **Third Level**: - **Differences between Environmental Shutdowns and Project Expropriation**: - Project expropriation (road construction, urban development) follows full compensation procedures. - Environmental protection zones/shutdowns are administrative actions requiring reasonable compensation or relocation (local policies vary; common components include livestock removal subsidies, facility compensation, and partial shutdown compensation). However, compensation standards are typically lower than expropriation norms. - For environmental-based shutdowns, focus on verifying the legality of the shutdown decision and the policy basis for compensation packages. - **Illegal Demolitions**: State compensation based on direct losses (no lower than comparable farms’ standards) and fair/adequate compensation for buildings, facilities, livestock, and interest losses. - **Pre-Demolition Asset Inventory**: Public notarization, appraisal, and video/photo evidence directly determine compensation amounts. **Fourth Level**: - **Negotiation vs. Litigation**: - For grossly inadequate compensation, file written objections and appraisal requests (preserve evidence). - For historically unapproved farms, claim compensation based on **de facto ownership + reliance interests** rather than zero compensation. - Collective action by livestock farmers (unified representation, joint appraisals) significantly improves negotiation leverage. **Beijing Suburban Case Study**: - Small-scale farming operations face frequent environmental crackdowns with widely varying compensation standards. - Review local shutdown compensation documents line by line to quantify losses.
IV. Practical suggestions and legal basis
The first step is to prepare a comprehensive list: itemize the six compensation items and claim compensation for any missing items. The second step is to preserve evidence: ensure that the inventory, facilities, operating records, and quarantine records are readily available for inspection. The third step is to challenge the assessment: raise objections in writing if there are disputes over the assessment timepoint or criteria. The fourth step is to assert accountability: claim compensation for illegal demolitions at a level no lower than the corresponding compensation standards. The main legal basis includes Article 48 of the Land Administration Law of the People's Republic of China, Article 25 of the Regulations on the Prevention and Control of Pollution from Large-scale Livestock and Poultry Breeding, and Article 4 of the State Compensation Law of the People's Republic of China. Specific applications shall be subject to the currently effective regulations.
5. Henglue Law Firm's Reminder
The compensation for the livestock farm consists of three key points: six types of losses must not be overlooked, and the inventory and facilities should be fixed before discussing the price; the environmental protection-induced closure is not a gratuitous shutdown, and reasonable compensation is the legal bottom line; those who have been forcibly demolished should be compensated according to the same standards as similar cases, and all costs beyond the expected benefits should be calculated. Those involved in the demolition and closure compensation of livestock farms can seek help through legal channels.Land expropriation and demolition, and administrative litigationYou can refer to it for obtaining a comprehensive solution to service-related issues, particularly those involving environmental administrative disputesSpecialised legal servicesThe plates, involving compensation and enforcement for forced demolitions, can be combined togetherCreditor's rights and debts, and enforcement casesFor plates involving losses from operating contracts, you can refer to the following for referenceBusiness and contract disputes in enterprises板块。
VI. Frequently Asked Questions
Q1: Can a farm still receive compensation if it doesn't have the necessary approval procedures?
For historical reasons, unlicensed farms can still claim compensation for facilities and livestock losses, with the specific amount to be determined on a case-by-case basis.
Q2: What price should be used to calculate the value of the pigs in the herd?
When calculating the losses from relocation or disposal at market prices, the special value of pregnant female animals and their offspring should be evaluated separately.
Q3: How many months of losses will there be due to the suspension of production and business operations?
According to local policies, the actual period of shutdown and relocation and the evaluation of operating income are usually taken into account, and there is no uniform number of months for this assessment.
Q4: Can I request compensation for the farming income?
Anticipated profits are generally not within the scope of compensation, but the losses from business interruption during the shutdown period should be compensated as production and business suspension losses.
Q5: How to provide evidence of the losses incurred after the forced demolition?
The three core pieces of evidence are: a notarized document or images taken before demolition, an inventory of livestock and facilities, and business records.
The above questions and answers are mainly based on judicial practices in the Beijing area. There may be differences in the adjudication opinions in different regions. It is recommended to consult a professional lawyer based on the specific circumstances of the case.
VII. Relevant public cases (for reference only, not handled by our firm)
The following cases are all sourced from the official websites of courts at all levels, judicial authorities, and authoritative media that have been publicly released. They are not related to the cases handled by our firm and are provided solely for reference in understanding relevant adjudication rules. They do not constitute opinions on specific cases.
[Case No.](2020) No. 7 Guidelines on the Handling of Compensation Cases Involving Violations of Citizens' Property Rights by State Organs and Their Staff According to the Law
[Trial Court]The Supreme People's Court
[Judicial Summary]Luo *ming and other five people v. * Comprehensive Administrative Law Enforcement Bureau: The pigsty and feed warehouse of the pig farm were illegally demolished, resulting in the suspension of business and closure. The retrial court accurately identified the scope of direct losses, objectively calculated the amount of actual property losses, and finally ruled to compensate more than 1.69 million yuan. It upheld the concept of fair and full compensation, and at the same time, supported the implementation of environmental protection policies and protected the property rights of market entities in accordance with the law.
[Source]China Court Online (Typical Cases of Administrative Litigation for Property Rights Protection by the Supreme People's Court) (2021-05)
[Case Number](2019) Case No. 3779 of the Supreme People's Court
[Trial Court]The Supreme People's Court
[Judicial Summary]Zhang Shaoling and Fan Huaijiang v. Zhuzhou City Zhongzhou District Government: Although the livestock farms and houses built on collectively-owned land by lease did not have legal registration procedures, after the forced demolition was confirmed to be illegal, the court calculated the compensation amounts for the houses and ancillary facilities, transitional fees, and relocation fees according to the maximum standards of the compensation standards for the project in question and the detailed compensation table for attached objects, and supported the claim for the loss of loan interest.
[Source]Administrative Ruling of the Supreme People's Court (reprinted from Tengzhou Government Network) (2019-12)
If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, to avoid missing the statutory time limit. →Land expropriation and demolition legal services·Beijing Henglu Law Firm
Disclaimer: This article is compiled based on the current effective laws and regulations and public adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If you encounter disputes, please consult a practicing lawyer in time.