7. (50) No Inuvialuit lands may be expropriated except by order of the Governor in Council.

7. (51) Canada recognizes the desire of the Inuvialuit to retain their lands and therefore agrees that any expropriation shall provide suitable alternative lands in the Western Arctic Region, considered to be satisfactory by the Inuvialuit, in place of the expropriated lands if it is reasonably possible to so provide.

7. (52) If suitable alternative lands considered to be satisfactory by the Inuvialuit cannot reasonably be provided pursuant to subsection (51), monetary compensation shall be payable, together with interest, as contemplated by the Expropriation Act of Canada.

7. (53) The monetary compensation payable on an expropriation shall reflect the fair market value of the lands expropriated but shall take into account that such value is low relative to other areas in Canada and that this Agreement is intended to constitute a fair exchange between the Inuvialuit and Canada. Where a cost base is agreed on, the compensation payable on an expropriation shall be an amount equal to the greater of the fair market value and that cost base.

7. (54) On an expropriation of Inuvialuit lands, compensation shall be payable for the loss of the use of the land. Part of the land value, in addition to other land values, shall consist of its intrinsic value for wildlife.

7. (55) Compensation for actual harvesting loss shall be provided for Inuvialuit harvesters under section 13 and shall not be considered in determining the value of the land under expropriation.

7. (56) Where Inuvialuit lands are expropriated, the exclusive harvesting rights set out in paragraph 14(6)(d) shall continue to apply. For greater certainty, the exercise of such rights by the Inuvialuit is subject to the laws of general application respecting public safety and conservation.

7. (57) On an expropriation, any disagreement between Canada and the Inuvialuit concerning the following matters shall be referred to the Arbitration Board pursuant to section 18: 

(a) whether it is reasonably possible for the Government to provide suitable alternative lands satisfactory to the Inuvialuit; 

(b) the compensation and interest payable in the event that suitable alternative lands are not available; and 

(c) any other matters arising on expropriation, including payment of the costs of any arbitration.

7. (58) Compensation for expropriation, whether in the form of suitable alternative lands or money, shall be tax free to the Inuvialuit.

7. (59) Where lands arc required to be conveyed pursuant to subsections (61) to (81), the provisions of subsections (50) to (58) do not apply.

7. (60) For the purposes of subsections (61) to (81), the following provisions apply: 

(a) where Inuvialuit lands are appropriated, if possible, equivalent alternative lands in the Western Arctic Region suitable to the Inuvialuit shall be provided; 

(b) if the parties cannot agree on appropriate equivalent lands, the matter shall be referred to the Arbitration Board pursuant to section 18 and the arbitrator shall decide the issue of equivalence and whether payment shall be made in land or money; 

(c) the value of the lands shall be based on their worth before being required for government purposes, and shall include, in addition to other land values, their intrinsic value for wildlife; 

(d) compensation for actual harvesting loss shall be provided to Inuvialuit harvesters under section 13 and shall not be considered in determining the value of the land under subsections (61) to (81); 

(e) lands acquired by the Inuvialuit Land Land Corporation (ILC) through exchange by virtue of subsections (61) to (81) shall be deemed to be Inuvialuit lands and receipt of compensation for appropriation in whatever form shall be tax free to the Inuvialuit; and 

As amended by P.C. 1987-26, January 15, 1987 and by P.C. 2004-337, March 30, 2004

(f) on appropriated lands, the exclusive harvesting rights set out in paragraph 14(6)(d) shall continue to apply. For greater certainty, the exercise of such rights by the Inuvialuit is subject to the laws of general application respecting public safety and conservation.