Conflict over the use of state land occurs due to illegal use of land, for investment and development needs in the public interest. From this conflict, the community has a weak position and feels injustice. This is then reviewed by the author with the main issue of Why there is an injustice in the use of state land by the people in the country of Indonesia and how the legal reconstruction of the use of state land by the people as an embodiment of a welfare state based on the value of justice. The study was done using the constructivism paradigm and the type of research is a qualitative study with a socio-legal approach. Research shows that the injustice in the use of state land by the people in Indonesia arises from both in terms of substance, structure and culture. To overcome this, it is necessary to reconstruct the legal use of state land by the people as an embodiment of a welfare state based on the value of justice, viewed from: (a) in terms of legal substance: (i) criteria for land value close to market prices; (ii) assessment team / appraiser in the form of rights simplification, i.e. by optimizing the Land-Use Rights (HP) function optimally by removing the Land-Cultivation Rights (HGU) and Building-Use Rights (HGB); (b) in terms of legal structure: (i) a private independent Appraisal Institution was formed and (ii) an ad hoc agrarian justice institution was established; and (c) in terms of legal culture: (i) legal awareness for the government and the people in implementing basic principles in land acquisition that provide protection to the people and (ii) maintaining the principle of agreement and deliberation to reach agreement and abolish institutions consignment.