Abstract: An adaptive finite element method for localized deformation and progressive failure of fluid infiltrated soils under earthquake loading is presented. The present paper is a direct extension of the research reported by Zienkiewicz and the first author 12 . The adaptive technique has been extended to the problems incorporating dynamic loading and effects of the fluid phases. An efficient computation involving adaptive remeshing has been achieved through the introduction of an unconditionally stable staggered time stepping algorithm. A re analysis of the Lower San Fernando dam slide under earthquake has demonstrated the ability of the proposed approach to dealing with more complicated strain localization problems.