Resettlement is involuntary when the affected people do not have the right to refuse it. This is the case when land is acquired under the law for a development project, and also when a sale is negotiated but the land could be taken by law if the negotiation failed.
It takes two forms. Physical displacement is the loss of a home and the move to another place. Economic displacement is the loss of land, assets or access to resources that a household's income depends on, even when the household does not move.
Because people cannot refuse, international standards such as IFC Performance Standard 5 require the project to avoid displacement where it can, compensate losses at replacement cost, consult the affected people and restore their livelihoods. In Lao PDR, compensation and resettlement follow the Law on Resettlement and Vocation and Decree No. 84/GoL.