The framework of the modern land management rights system with Chinese characteristics has already taken shape, but it also has defects: the legal nature is unclear, the rights of land operators are vaguely defined, and their obligations are temporarily omitted. These defects can be partly attributed to the confusion in two theoretical areas: when discussing the legal nature, the main contradiction—the unity of contracted management rights and initial land management rights—is overlooked, as well as the main aspect of this contradiction, which is the consistency of interests between the parties involved in land transfer; after the land transfer, the interests of both parties are not properly understood, and the alignment of rights and obligations is not realized. To overcome this confusion, the article argues for the unity of the two rights and the consistency of interests between the parties involved, based on the practical background of establishing land management rights and the direction of land management reform. By analyzing the main contradiction and its key aspects, the article assesses its legal nature. Regarding the reform approach, the article emphasizes that the demands of Chinese agricultural modernization require the establishment of an institutional framework with the following characteristics. To strengthen the initial land management rights, the land investors should be granted asset ownership on the basis of enhancing servitudes and other spatial rights. After land transfer, the rights and obligations of the transferee and transferor should be clearly defined. Collectives also need to bear corresponding responsibilities, and the government should improve supporting policies and promote relevant reforms.