The caste system is an intricate part of the institutional structure as well as class formation, political instability and conflicts in Nepal. The most severely discriminated group in the caste system is the Dalits, the so-called “untouchables”. Dalits faced religious, occupational and even, territorial discrimination. They were traditionally excluded from receiving education, using public resources, and had no rights to own land. The situation of Dalits especially before 1951 can best be explained by a patron-client dependency in which landed patrons (high-caste households) provided them with access to small pieces of land and other basic requirements for subsistence living and in return to that, they are bound to provide their services to their patron. Although caste discrimination is outlawed now, it still has impacts on their lives because it restricts their access to economic resources.