Succession Flashcards
The first think to look for is if the tenancy carries succession rights
All tenancies granted before the 1st September 1995 are AHA tenancies.
However, succession rights were abolished on the 12th July 1984 and so any tenancies after this date do not carry succession rights.
How many successions
3 successions are available.
OG tenant
Son
Grandson
When can succession applications be made?
On Death
On retirement
Applicants must demonstrate to the FT Tribunal Property Chamber that they are both suitable and eligible.
The Eligibility Tests - Close Relationship
Applicants must be a close relative of the tenant:
- Wife
- Husband
- Sibling
- Child
- Person treated as a child
Eligibility Test - Principle Source of Livelihood
In at least 5 out of the 7 years leading upto the death or retirement, the applicants work on the holding must have formed his principle source of livelihood.
This is at least 50% of his income
Remember spousal income may be incorporated too as demonstrated in Littlewood v Rolf.
Commercial Unit Test
Abolished on the 1st September 2024
Suitability Tests
- New tests wef 1st Sept 2024
- A persons capability and capacity to farm the holding commercially
- A persons experience, training, skills in agriculture and business management
- Financial Standing
- Character and situation of the holding
- Terms of the tenancy.
Applications on retirement?
The retiring tenant must nominate One proposed successor
The same eligibility and suitability tests
No minimum retirement age