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The Agricultural Holdings (Scotland) Act 2003 significantly changes the law by introducing new forms of limited duration tenancies, both short and medium term, which will be terminable at the end of their contractual terms. |
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The Act also introduces measures permitting tenant farmers to diversify in relation to compensation for improvements, disturbance and diversification, relative to rent review, fixed equipment, residence, termination of tenancies and assignation. There are important provisions affecting partnership tenants and, in particular, Limited Partnerships. The making of records will be simplified and modernised.
The most controversial measure introduced by the Act is to grant to agricultural tenants, for the first time, the right to purchase their holdings, but only in the event that the landlord decides to sell.
Traditionally, disputes in relation to agricultural holdings and leases have been decided by a single arbiter appointed from a panel of arbiters appointed by Scottish Ministers, with relevant experience and backgrounds. The Agricultural Holdings (Scotland) Act 2003 alters that by making the Scottish Land Court the first port of call for the resolution of disputes between landlord and tenant, although arbitration will, in many cases, remain an option for the parties to a dispute, should they prefer.
For more information contact Alasdair Fox |
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