In 2008, the PSOE-led government approved a law of "urgent measures" which led to a reclassification of land earmarked for development. This law came at a time when there was a property boom (which was to become more of a bust because of economic crisis) and it followed the revelations about illegal building in the so-called "caso Andratx".
The law declared certain areas to be ones of special natural interest. They were therefore given protected status, meaning that planned developments could not go ahead. One of these areas was Cala Carbó in Cala San Vicente. Another, relevant to Andratx, was the Biniorella development in Camp de Mar.
Since 2008 there have been various legal cases for compensation. The Balearic High Court has now ruled that the government must pay a total of 105 million euros compensation for Biniorella, where the plan had entailed the building of houses and a hotel. The land in question, some 100,000 square metres, had all the necessary requirements for development, but it was prevented by the land reclassification.
The compensation determined by the court includes thirty million euros of legal costs. The government can appeal the decision to the Supreme Court but only the amount and not the principle that there has to be compensation.