v Abstract URLALHP No. 721/201 and its implementing regulations and directives empowered the appropriate government land agencies to issue urban land clearance order when the land is required for public interest, the lease contract is terminated, the lessee uses the land in contravention with the approved land use plan and the land is held illegally. The clearance process must strictly follow the prescribed procedures stipulated by law. Moreover, payment of compensation must be effectuated for those who are eligible for compensation. The proclamation delegates regional governments to legislate regulations and directives important to administer urban land. Accordingly, the AMNRS promulgated different regulations and directives. The AMNRSR No.124/2014 is one of these laws. It established urban land clearance and compensatory cases grievance handling appellate tribunal with judicial power of reviewing the decision of the appropriate government land agency. Its members are to be composed from different sectors and representatives from the community. They are not legal professionals and property valuators though the dispute needs expertise investigation of the issue under investigation. Moreover, they are accountable to the city administration up on which the grievance is to be submitted. Hence, the forum is believed to be partial, not predictable, inefficient and ineffective. The objective of this research project is to examine the urban land clearance and compensatory cases grievance handling mechanism in Amhara region taking DBCA as a case study area. To do so, a qualitative research approach is employed. Both primary and secondary data are collected. 202 affected households 174 of which are Peri-urban landholders and 28 of them are inner city inhabitants are investigated by categorizing them in to two strata. Interview with judges, public prosecutors, legal consultants and officials of DBCA is also conducted. Moreover, FGD with selected adversely affected Peri-urban landholders is conducted. The evidence collected indicate that the grievance handling mechanism is surrounded by tremendous problems. The institutions established for this purpose are improper. The investigated households and majority of interviewed professionals recommend that regular courts shall entertain such grievances or special land court shall be established. There are also procedural and practical obstacles that impede the right to access to effective justice of affected landholders. The procedures designed for handling such grievances is discriminatory and unable to respect and protect the right to be heard of affected landholders. Moreover, the tribunal is not yet made functional though the regulation states that it must be functional since November 28 of 2014. As a result, affected landholders are submitting their grievances to different organs without legal backing. This is considered as an arbitrary eviction of urban land holders without due process of law and hence must be revised. Key words: Urban land, Clearance, Compensation, Grievance, Handling, Amhara region,