21st century land grab is a phenomenal event which is caused by different global factors. the global food price hike, the global financial crisis, speculations and the bio fuel initiative are the major global factors. In addition to these factors, economic and social policies and laws of host nations are also equally responsible. In this work the adequacy of the regulatory legal framework of Ethiopia to regulate the phenomenon is examined. In the meantime the sufficiency of Ethiopian laws and contractual agreements to guaranty the national interests of the nation is examined.