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Based on an ongoing housing demolition and relocation project in Dalian, this article describes uncompromising nail households, who have resisted resettlement through intractable conflict and prolonged bargaining. Building upon a state–society approach, this article reveals a new relationship between state, society and governance in the institutional background of neoliberal urbanism in China. Uncompromising nail households within this transforming governance system are able to individually equip and maintain their resistance. The article identifies heterogeneous uncompromising nail households: ‘hard’, who maintain a firm stance throughout the bargaining process; and ‘hardened’, who increase resistance during the process of bargaining. These findings contribute to understanding of the reconfiguration of state–society relations, and demonstrate significant contradictions between the central and local …