sure, its disputed.
but its legal status is "occupied".
why do you think Israel orginally began confiscating Arab private property and said it would be for military purposes?
because they KNEW international law and KNEW that an occupying power can only confiscate land in occupied territory for security or military purposes. its illegal for an occupying power to confiscate private property to build civilian settlements for their civilians.
Israel knew the law very well.
take it from Ariel Sharon: what is happening in the WB is indeed an
Occupation
http://www.israelnationalnews.com/News/News.aspx/133579
No Israeli government ever used the term “occupation”, employed by foreign news agencies, the Arab world and many Western countries, until former Prime Minister Ariel Sharon used the phrase to back the U.S. Roadmap proposal in 2003. “I think the idea that it is possible to continue keeping 3.5 million Palestinians under occupation–yes it is occupation, you might not like the word, but what is happening is occupation–is bad for Israel, and bad for the Palestinians, and bad for the Israeli economy,” Sharon said at that time.
Thank you, Ariel Sharon, for having the courage to call it what it is.