Tenancies and Farm Business Tenancies

20th July 2017
Tenancies and Farm Business Tenancies image

Agricultural Holdings Act/Tenancies

Agricultural Tenancies entered into before January 1996 are governed by the Agricultural Holdings Act of 1986. They are known as Agricultural Holdings Act (AHA) Tenancies and offer the tenant security of tenure. They also have beneficial terms for the tenant relating to reviewing the rent

AHA Tenancies ordinarily run for an agreed length of contractual term but then continue from year to year after that contractual term until brought to an end by the correct notice. The tenant then has an opportunity to challenge that notice and could bring proceedings in the Agricultural Land Tribunal. The Agricultural Land Tribunal (except in very limited circumstances) is obliged to let the tenant remain in occupation.

An AHA Tenancy also gives a right for someone who has worked closely with the tenant to claim succession of the tenancy upon the death of he tenant. There can be two applications for succession of any AHA Tenancy; it is easy to see therefore that an AHA tenancy can be in existence for many years and at least two generations. If the tenant is a company the tenancy could go on indefinitely

Worryingly, many farmers/ land owners did not even know that they were entering into AHA’s at the time of so doing as the legislation did mean that many agricultural licences were converted into AHA’s.

Compare AHA Tenancies with the Farm Business Tenancy (FBT) however. An FBT is an agricultural tenancy that was created after January 1996 when the Agricultural Tenancies Act 1995 came into force. This made the agricultural tenancy more akin to the tenancies that the rest of the commercial world was using. The FBT allowed the parties freedom to contract. The FBT is far more flexible in that the parties can readily agree what they want in relation to rent, rent reviews and term etc.

How can the above affect me?

If you are a tenant and have one of the above tenancies it is vital to understand which one so that you know your rights. If you have an AHA, you are probably in a very secure position and may be able to challenge any notice that is served. If you enter into an FBT it is important that you understand the terms that are being agreed and the ways in which the tenancy can be brought to an end.

If you are purchasing Freehold land that is subject to a tenancy it is vital that you know what type of tenancy affects the land. If it is an AHA Tenancy, chances are that you will have the current tenants on the land for some years to come without being able to increase the rent, which may affect the value of the land .An AHA Tenancy also has significant tax implications, it is important therefore to speak to someone who is suitably qualified to deal with such matters

If you want any advice in relation to AHA’s or FBT’s then please contact Gemma Mayer on 01775 722261 or email gemma.mayer@maplessolicitors.com or write to Gemma at 23 New Road Spalding Lincolnshire PE11 1DH.


Wills During the Coronavirus Pandemic image

Wills During the Coronavirus Pandemic

We appreciate that many people will be considering making a Will and Lasting Powers of Attorney now, more than ever, in light of the Coronavirus pandemic. At Maples Solicitors we will work around those who are self-isolating and we will continue to follow Government guidance by keeping our distance from others. This does mean that we can now offer “Through your Window Wills”. We will take instructions for your Wills and Lasting Powers of Attorney via the telephone, video calls or e-mail and we can attend at your home and arrange the signing and witnessing of the documents through your window.

 

Our costs for dealing with Wills are as follows:-

Our Simple Wills service offers a comprehensive service to ensure that your wishes are carried out in the event of your death.  

If you are married or have a partner and want to make mirror Wills our cost are £360 (inclusive of VAT).

This fee is made up of:

  • Legal fee £300
  • VAT on legal fees £60

If you want to make a single Will our costs are £210 (inclusive of VAT). 

This fee is made up of:

  • Legal fee £175
  • VAT on legal fees £35

The Simple Will Service includes: 

  • Appointment of Executors
  • Provision for your funeral wishes
  • Appointment of Guardians for minor children
  • Provision for specific legacies including money and personal items to named beneficiaries
  • Basic Inheritance Tax advice
  • Advice with regard to the distribution of your residuary estate to your intended beneficiaries
  • Draft Will with full explanation in plain English sent to you in the post
  • Answering any queries you have on the draft Will
  • Face to face meeting at our offices to sign the Will with a Solicitor or Legal Executive
  • Registration with Certainty the National Wills Register 
  • Secure lifetime storage 

This service does not include: 

  • Complex inheritance tax advice and planning
  • Assets that are situated abroad
  • Property protection advice
  • Advice with regard to disinheriting family members 

If it becomes apparent additional work will be needed we will inform you of the additional work required and confirm the additional costs.

If you would like to make a “Through your Window Will” or Lasting Powers of Attorney please telephone the office on 01775 722261 or e-mail enquiries@maplessolicitors.com.

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