Thousands commemorate Palestinian 'Land Day'
A few thousand protesters raised the Palestinian flag and chanted slogans at a protest in Deir Hanna in northern Israel.
Smaller protests occurred in Gaza and parts of the occupied West Bank, with clashes near Nablus.
The 1976 protest against Israeli plans to seize large sections of land in northern Israel was met with a violent police response.
Mohammad Barakeh, a former member of the Israeli parliament and organizer, said Land Day had become a symbol of Palestinian suffering.
"The march is a message to our people everywhere," he told AFP.
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"It represents a historical turning point."
Palestinian-Israelis make up around 17.5 percent of the country's population. They hold Israeli citizenship but most see themselves as Palestinians and face discrimination.
The Adalah NGO, which campaigns for the rights of Palestinian citizens of Israel, said in a statement on Thursday that Israeli authorities "persist in their discriminatory policies against Arab-Palestinian citizens of Israel."
In January, a local resident and a policeman died during a raid on the Bedouin Arab village of Umm al-Hiran in southern Israel to demolish a number of homes.