Landlord and Tenant

Question 1

In what circumstances have you granted or would you consider granting a licence?

Answer 1

For the grazing of livestock or mowing of grass

Question 2

What is the difference between a lease and a licence?

Answer 2

A lease gives the occupier exclusive possession but a licence does not.

A lease is the grant of a right to exclusive possession of a premises for a specific period of time.
A licence is a personal permission for a licensee to use a licensor’s property, preventing this use from being deemed trespass

Question 3

How would you terminate a Farm Business Tenancy?

Answer 3

If the FBT is for a term of 2 years or less, the FBT will automatically come to an end at the expiry of the term

If FBT is for over 2 years and neither party take any action, the FBT will continue as a periodic rolling FBT

If FBT over 2 years or is a periodic FBT, either party would need to serve a Section 5 Notice (ATA 1995) a minimum of 12 months before the contractual expiry date of the FBT to enable Landlord to gain VP upon expiry of the fixed term.

Alternatively, can end FBT by mutual surrender - must document in writing

Question 4

1. What notice would you use to terminate a periodic FBT?
2. What notice would you use to terminate a fixed term FBT over two years but not periodic?

Answer 4

1. Section 6 Notice ATA 1995
2. Section 5 Notice ATA 1995