Land dispute is a complicated issue and always occurs when there is land procurement. It has happened since 2007 in Ogan Komering Ulu (OKU) Timur, South Sumatra. The dispute is between public or private sector and local community regarding HGU Certificate of 21.502 acres land. The objective of the research is to understand the role of Local Government of OKU Timur and to know the obstacle factors that harsh the agrement in the implementation process. In the type of research this research was used normative and emperical legal researches with statute and case approaches were used. The data were collected from library research and interview. The case was trigeered by land tenure and the compensation that owned by PT LPI. Local Government of OKU Timur together with stakeholders had tried to solve the problem in 2013 by mediating and conducting socialization on the ownership of HGU Certificate. There are some obstacles to implement the result of agreement because the presence of outsiders affecting the community to resist the land disposal, besides PT LPI is less cooperative with the Local Government and local community. The results show that Local Government of OKU Timur has done mediation, socialization and provided a legal certainty.