39 Compensation for certain old improvements conditional on consent of landlord.
(1) Compensation under this Act shall not be payable for a 1923 Act improvement specified in Part I of the Second Schedule to this Act or for a 1931 Act improvement specified in Part I of the Third Schedule thereto unless, before the carrying out thereof, the landlord consented in writing (whether unconditionally or upon terms as to compensation or otherwise agreed on between him and the tenant) to the carrying out thereof.
(2) Where the consent was given upon terms as to compensation agreed on as aforesaid, the compensation payable under the agreement shall be substituted for compensation under this Act.
40 Compensation for certain old improvements conditional on notice to landlord.
(1) Compensation under this Act shall not be payable for a 1923 Act improvement specified in Part 11 of the Second Schedule to this Act unless the tenant, not more than three nor less than two months before he began to carry out the improvement, gave to the landlord notice in writing under section three of the Agricultural Holdings (Scotland) Act, 1923, of his intention to carry out the improvement and of the manner in which he proposed to carry it out, and either—
(a) the landlord and the tenant agreed on the terms as to compensation or otherwise on which the improvement was to be carried out; or
(b) where no such agreement was made and the tenant did not withdraw the notice, the landlord failed to exercise the right conferred on him by that section to carry out the improvement himself within a reasonable time:
Provided that this subsection shall not have effect if the landlord and the tenant agreed, by the lease or otherwise, to dispense with notice under the said section three.
(2) Compensation under this Act shall not be payable for a 1931 Act improvement specified in Part 11 of the Third Schedule to this Act unless the tenant, not more than six months nor less than three months before he began to carry out the improvement, gave to the landlord notice in writing under section three of the Agricultural Holdings (Scotland) Act, 1923, of his intention to carry out the improvement and of the manner in which he proposed to carry it out and either—
(a) the landlord and the tenant agreed on the terms as to compensation or otherwise on which the improvement was to be carried out; or
(b) where no such agreement was made and the tenant did not withdraw the notice, the landlord failed to exercise the right conferred on him by that section to carry out the improvement himself within a reasonable time; or
(c) in a case where the landlord gave notice of objection and the matter was, in pursuance of subsection (2) of section twenty-eight of the Small Landholders and Agricultural Holdings (Scotland) Act, 1931, referred for determination to the appropriate authority, that authority was satisfied that the improvement ought to be carried out and the improvement was carried out in accordance with the directions (if any) given by that authority as to the manner in which the improvement was to be carried out:
Provided that this subsection shall not have effect—
(i) if the landlord and the tenant agreed, by the lease or otherwise, to dispense with notice under the said section three; or
(ii) where the improvement consists of drainage which was carried out by the tenant for the purpose of complying with directions given under Defence Regulations, but which he was not required to carry out by the terms of the tenancy.
(3) If the landlord and the tenant agreed (whether after notice was given under the said section three or by an agreement to dispense with notice under that section) on the terms as to compensation on which the improvement was to be carried out, the compensation payable under the agreement shall be substituted for compensation under this Act.
(4) In this section the expression “the appropriate authority” means, in relation to the period before the fourth day of September, nineteen hundred and thirty-nine, the Department of Agriculture for Scotland, and in relation to the period commencing on that day, the Secretary of State.
41 Conditions attaching to right to compensation for repairs to buildings.
Compensation under this Act shall not be payable in respect of any such repairs as are specified in paragraph 29 of the Second Schedule to this Act or in paragraph 29 of the Third Schedule thereto unless, before beginning to execute any such repairs, the tenant gave to the landlord notice in writing under paragraph (29) of the First Schedule to the Agricultural Holdings (Scotland) Act, 1923, or under paragraph (30) of the First Schedule to the Small Landholders and Agricultural Holdings (Scotland) Act, 1931, of his intention to execute the repairs, together with particulars thereof, and the landlord failed to exercise the right conferred on him by the said paragraph (29) or the said paragraph (30) to execute the repairs himself within a reasonable time after receiving the notice.
42 Agreements as to compensation for old improvements specified in Part III of Second or Third Schedule.
where an agreement in writing entered into before the first day of January, nineteen hundred and twenty-one, secures to the tenant for an old improvement specified in Part III of the Second Schedule to this Act or in Part III of the Third Schedule thereto fair and reasonable compensation, having regard to the circumstances existing at the time of the making of the agreement, the compensation so secured shall as respects that improvement be substituted for compensation under this Act.
The tenant shall be entitled to compensation under this Act in respect of the 1931 Act improvement specified in paragraph 28 of the Third Schedule to this Act, being the laying down of temporary pasture in accordance with that paragraph, notwithstanding that the laying down or the leaving at the termination of the tenancy of such pasture was in contravention of the terms of the lease or of any agreement made by the tenant respecting the method of cropping the arable lands; but in ascertaining the amount of the compensation the arbiter shall take into account any injury to, or deterioration of, the holding due to the contravention except in so far as the landlord has recovered damages in respect of such injury or deterioration.
44 Reduction in amount of, or exclusion of right to, compensation for old improvements in certain cases.
(1) In the ascertainment of the amount of the compensation payable under this Act to the tenant in respect of an old improvement, there shall be taken into account—
(a) any benefit which the landlord has given or allowed to the tenant in consideration of the tenant carrying out the improvement, whether expressly stated in the lease to be so given or allowed or not; and
(b) as respects manuring, the value of the manure required by the lease or by custom to be returned to the holding in respect of any crops grown on and sold off or removed from the holding within the last two years of the tenancy or other less time for which the tenancy has endured, not exceeding the value of the manure which would have been produced by the consumption on the holding of the crops so sold off or removed.
(2) In assessing the amount of any compensation payable to the tenant, whether under this Act or under custom or agreement, by reason of the improvement of the holding by the addition thereto of lime in respect of which a contribution has been made under Part I of the Agriculture Act, 1937, the contribution shall be taken into account as if it had been a benefit allowed to the tenant in consideration of his carrying out the improvement, and the compensation shall be reduced accordingly.
(3) In assessing the amount of any compensation payable under this Act to the tenant in respect of such an improvement as is mentioned in paragraph (ii) of the proviso to subsection (2) of section forty of this Act, if it is shown to the satisfaction of the person assessing the compensation that the improvement consisted of, or was wholly or in part the result of or incidental to, operations in respect of which any grant has been or is to be made to the tenant out of moneys provided by Parliament, the grant shall be taken into account as if it had been a benefit allowed to the tenant in consideration of his carrying out the improvement, and the compensation shall be reduced to such extent as that person considers appropriate.
(4) Notwithstanding anything in the foregoing provisions of this Act, the tenant shall not be entitled to compensation thereunder for an old improvement carried out on land which, at the time the improvement was begun, was not a holding within the meaning of the Agricultural Holdings (Scotland) Act, 1923, as originally enacted, and would not have fallen to be treated as such a holding by virtue of section thirty-three of that Act.
(5) In this section the expression “manuring” means any of the improvements specified in paragraphs 25 to 27 of the Second Schedule to this Act or in paragraphs 25 to 27 of the Third Schedule thereto.
Where the tenant has remained in the holding during two or more tenancies, he shall not be deprived of his right to compensation under this Act for old improvements by reason only that the improvements were not carried out during the tenancy on the termination of which he quits the holding.
46 Right to compensation for old improvements of tenant who has paid compensation therefor to outgoing tenant.
Where, on entering into occupation of the holding, the tenant, with the consent in writing of the landlord and in pursuance of an agreement made before the first day of November, nineteen hundred and forty-eight, paid to an outgoing tenant any compensation payable under or in pursuance of this Act or the Agricultural Holdings (Scotland) Acts, 1923 to 1948, in respect of the whole or part of an old improvement, or, with the like consent and in pursuance of an agreement in writing made after that day, paid to an outgoing tenant any compensation payable as aforesaid in respect of the whole or part of an old improvement of the kind specified in Part 111 of the First Schedule to this Act, he shall be entitled, on quitting the holding, to claim compensation for the improvement or part in like manner, if at all, as the outgoing tenant would have been entitled if the outgoing tenant had remained tenant of the holding and quitted it at the time at which the tenant quits it.
(1) The provisions of the eight next following sections shall have effect with respect to the rights of the tenant of an agricultural holding with respect to compensation for improvements specified in the First Schedule to this Act carried out on the holding, being improvements begun on or after the first day of November, nineteen hundred and forty-eight; and the said provisions shall have effect whether the tenant entered into occupation of the holding before or on or after the said first day of November.
(2) An improvement falling within the foregoing subsection is in this Act referred to as “a new improvement”.
48 Tenant’s right to compensation for new improvements.
(1) The tenant shall, subject to the provisions of this Act, be entitled at the termination of the tenancy, on quitting the holding, to obtain from the landlord compensation for a new improvement carried out by the tenant:
Provided that where the lease was entered into before the first day of January, nineteen hundred and twenty-one, the tenant shall not be entitled to compensation under this section for an improvement which he was required to carry out by the terms of his tenancy.
(2) Nothing in this section shall prejudice the right of a tenant to claim any compensation to which he may be entitled under an agreement in writing in lieu of any compensation provided by this section.
(1) The amount of any compensation under this Act for a new improvement shall be such sum as fairly represents the value of the improvement to an incoming tenant.
(2) In the ascertainment of the amount of the compensation payable under this Act for a new improvement there shall be taken into account—
(a) any benefit which under an agreement in writing the landlord has given or allowed to the tenant in consideration of the tenant carrying out the improvement; and
(b) any grant out of moneys provided by Parliament which has been or will be made to the tenant in respect of the improvement.
50 Compensation for Sch. 1, Pt. I, improvements conditional on consent of landlord.
(1) Compensation under this Act shall not be payable for a new improvement specified in Part I of the First Schedule to this Act unless, before the carrying out thereof, the landlord has consented in writing (whether unconditionally or upon terms as to compensation or otherwise agreed on between him and the tenant) to the carrying out thereof.
(2) Where the consent is given upon terms as to compensation agreed on as aforesaid, the compensation payable under the agreement shall be substituted for compensation under this Act.
51 Compensation for Sch. 1, Pt. II, improvements conditional on notice to landlord.
(1) Compensation under this Act shall not be payable for a new improvement specified in Part II of the First Schedule to this Act unless the tenant has, not less than three months before he began to carry out the improvement, given to the landlord notice in writing of his intention to carry out the improvement and of the manner in which he proposes to carry it out.
(2) On such notice being given, the landlord and the tenant may enter into an agreement in writing with respect to the terms as to compensation or otherwise on which the improvement is to be carried out, and if any such agreement is entered into, the compensation payable under the agreement shall be substituted for compensation under this Act.
(3) The landlord and the tenant may, by the lease or otherwise, enter into an agreement in writing to dispense with any notice under subsection (1) of this section; and an agreement so entered into may provide for anything for which an agreement entered into under the last foregoing subsection may provide, and in such case shall be of the like validity and effect as such last-mentioned agreement.
52 Compensation for Sch. 1, Pt. II, improvements conditional on approval of Secretary of State in certain cases.
(1) Subject to the provisions of this section, compensation under this Act shall not be payable in respect of a new improvement specified in Part 11 of the First Schedule to this Act if, within one month after receiving notice under subsection (1) of the last foregoing section from the tenant of his intention to carry out the improvement, the landlord gives notice in writing to the tenant that he objects to the carrying out of the improvement or to the manner in which the tenant proposes to carry it out.
(2) Where notice of objection has been given as aforesaid, the tenant may . . . apply to the Secretary of State for approval of the carrying out of the improvement, and on any such application the Secretary of State may . . . approve the carrying out of the improvement either unconditionally or upon such terms, whether as to reduction of the compensation which would be payable if the Secretary of State approved unconditionally or as to other matters, as appear to the Secretary of State to be just, or may withhold his approval . . .
(3) If, on an application under the last foregoing subsection, the Secretary of State grants his approval, the landlord may, within one month after receiving notice of the decision of the Secretary of State, serve notice in writing on the tenant undertaking to carry out the improvement himself.
(4) Where the Secretary of State grants his approval, then if either—
(a) no notice is served by the landlord under the last foregoing subsection, or
(b) such a notice is served but, on an application made by the tenant in that behalf, the Secretary of State, . . . determines that the landlord has failed to carry out the improvement within a reasonable time,
the tenant may carry out the improvement and shall be entitled to compensation under this Act in respect thereof as if notice of objection had not been given by the landlord, and any terms subject to which the approval was given shall have effect as if they were contained in an agreement in writing between the landlord and the tenant.
The tenant shall be entitled to compensation under this Act in respect of the new improvement specified in paragraph 33 of the First Schedule to this Act, being the laying down of temporary pasture in accordance with that paragraph, notwithstanding that the laying down or the leaving at the termination of the tenancy of such pasture is in contravention of the terms of the lease or of any agreement made by the tenant respecting the method of cropping the arable lands; but in ascertaining the amount of the compensation the arbiter shall take into account any injury to, or deterioration of, the holding due to the contravention except in so far as the landlord has recovered damages in respect of such injury or deterioration.
Where the tenant has remained in the holding during two or more tenancies, he shall not be deprived of his right to compensation under this Act for new improvements by reason only that the improvements were not carried out during the tenancy on the termination of which he quits the holding.
55 Right to compensation for new improvements of tenant who has paid compensation therefor to outgoing tenant.
(1) Where, on entering into occupation of the holding the tenant, in pursuance of such an agreement as is mentioned in subsection (2) of section eleven of this Act, paid to an outgoing tenant or refunded to his landlord any compensation payable by the landlord under or in pursuance of this Act or the Agricultural Holdings (Scotland) Acts, 1923 to 1948, in respect of the whole or part of a new improvement, he shall be entitled on quitting the holding to claim compensation in respect of the improvement or part in like manner, if at all, as the outgoing tenant would have been entitled if he had remained tenant of the holding and quitted it at the time at which the tenant quits it.
(2) Where, in a case not falling within the foregoing subsection or section eleven of this Act, the tenant, on entering into occupation of the holding, paid to his landlord any amount in respect of the whole or part of a new improvement, he shall, subject to any agreement in writing between the landlord and the tenant, be entitled on quitting the holding to claim compensation in respect of the improvement or part in like manner, if at all, as he would have been entitled if he had been tenant of the holding at the time when the improvement was carried out and the improvement or part had been carried out by him.
56 Compensation for continuous adoption of special standard of farming.
(1) Where the tenant of an agricultural holding proves that the value of the holding to an incoming tenant has been increased during the tenancy by the continuous adoption of a standard of farming or a system of farming which has been more beneficial to the holding than the standard or system required by the lease, or, in so far as no system of farming is so required, than the system of farming normally practised on comparable holdings in the district, the tenant shall be entitled, on quitting the holding, to obtain from the landlord such compensation as represents the value to an incoming tenant of the adoption of that standard or system:
Provided that compensation shall not be recoverable under this section unless—
the tenant has, not later than one month before the termination of the tenancy, given to the landlord notice in writing of his intention to claim such compensation; and
a record of the condition of the fixed equipment on, and the cultivation of, the holding has been made under section seventeen of this Act;
and shall not be so recoverable in respect of any matter arising before the date of the record so made or, where more than one such record has been made during the tenancy, before the date of the first such record.
(2) In assessing the compensation to be paid under this section due allowance shall be made for any compensation agreed or awarded to be paid to the tenant for any old or new improvement which has caused or contributed to the benefit.
(3) Nothing in this section shall entitle a tenant to recover, for an old or a new improvement or an improvement to which the provisions of this Act relating to market gardens apply, any compensation which he would not be entitled to recover apart from this section.
57 Compensation to landlord for deterioration, etc. of particular parts of holding.
(1) The landlord of an agricultural holding shall be entitled to recover from the tenant of the holding, on the tenant’s quitting the holding on the termination of the tenancy, compensation in respect of any dilapidation or deterioration of, or damage to, any part of the holding or anything in or on the holding, caused by non-fulfilment by the tenant of his responsibilities to farm in accordance with the rules of good husbandry.
(2) The amount of the compensation payable under the foregoing subsection shall be the cost, as at the date of the tenant’s quitting the holding, of making good the dilapidation, deterioration or damage.
(3) Notwithstanding anything in this Act, the landlord may, in lieu of claiming compensation under subsection (1) of this section, claim compensation in respect of matters specified therein under and in accordance with a lease in writing, so however that—
(a) compensation shall be so claimed only on the tenant’s quitting the holding on the termination of the tenancy;
(b) compensation shall not be claimed in respect of any one holding both under such a lease and under the said subsection (1);
and for the purposes of paragraph (b) of this subsection any claim under subsection (1) of section six of this Act shall be disregarded
58 Compensation to landlord for general deterioration of holding.
Where, on the quitting of an agricultural holding by a tenant thereof on the termination of the tenancy, the landlord shows that the value of the holding generally has been reduced, whether by reason of any such dilapidation, deterioration or damage as is mentioned in subsection (1) of the last foregoing section or otherwise by non-fulfilment by the tenant of his responsibilities to farm in accordance with the rules of good husbandry, the landlord shall be entitled to recover from the tenant compensation therefor, in so far as the landlord is not compensated therefor under subsection (1) of that section or in accordance with subsection (3) thereof, of an amount equal to the decrease attributable thereto in the value of the holding.
(1) Compensation shall not be recoverable under subsection (1) of section fifty-seven of this Act or under section fifty-eight thereof unless the landlord has, not later than three months before the termination of the tenancy, given notice in writing to the tenant of his intention to claim compensation thereunder.
(2) Compensation shall not be recoverable—
(a) under subsection (1) of section fifty-seven of this Act or under section fifty-eight thereof in any case where the lease was entered into after the thirty-first day of July, nineteen hundred and thirty-one, or
(b) under and in accordance with any lease entered into on or after the first day of November, nineteen hundred and forty-eight,
unless during the occupancy of the tenant a record of the condition of the fixed equipment on, and the cultivation of, the holding has been made under section seventeen of this Act, or in respect of any matter arising before the date of the record so made, or, where more than one such record has been made during his occupancy, before the date of the first such record:
Provided that if the landlord and the tenant enter into an agreement in writing in that behalf, a record of the condition of the holding shall, notwithstanding that it was made during the occupancy of a previous tenant, be deemed, for the purposes of this subsection, to have been made during the occupancy of the tenant and on such date as may be specified in the agreement and shall have effect subject to such modifications (if any) as may be so specified.
(3) Where the tenant has remained in his holding during two or more tenancies, his landlord shall not be deprived of his right to compensation under section fifty-seven or section fifty-eight of this Act in respect of any dilapidation, deterioration or damage by reason only that the tenancy during which an act or omission occurred which in whole or in part caused the dilapidation, deterioration or damage was a tenancy other than the tenancy at the termination of which the tenant quits the holding.
60 Compensation provisions of this Act to apply to parts of holdings in certain cases.
(1) Where—
(a) the tenancy of part of an agricultural holding terminates by reason of such a notice to quit as is rendered valid by section thirty-two of this Act; or
(b) the landlord of an agricultural holding resumes possession of part of the holding in pursuance of a provision in that behalf contained in the lease;
the provisions of this Act with respect to compensation shall apply as if that part of the holding were a separate holding which the tenant had quitted in consequence of a notice to quit:
Provided that, in a case falling within paragraph (b) of this section, the arbiter, in assessing the amount of compensation payable to the tenant, shall take into account any benefit or relief allowed to the tenant under the lease in respect of the land possession of which is resumed by the landlord.
(2) Where any land comprised in a lease is not an agricultural holding within the meaning of this Act by reason only that the land so comprised includes land (in this subsection referred to as “non-statutory land”) which, owing to the nature of the buildings thereon or the use to which it is put, would not, if it had been separately let, be an agricultural holding within the meaning of this Act, the provisions of this Act with respect to compensation for improvements and for disturbance shall, unless it is otherwise agreed in writing, apply to the part of the land exclusive of the non-statutory land as if that part were a separate agricultural holding.
61 Determination of claims for compensation where holding is divided.
Where an agricultural holding has become vested in more than one person in several parts and the rent payable by the tenant of the holding has not been apportioned with his consent or under any statute, the tenant shall be entitled to require that any compensation payable to bim under this Act shall be determined as if the holding had not been divided; and the arbiter shall, where necessary, apportion the amount awarded between the persons who for the purposes of this Act together constitute the landlord of the holding, and any additional expenses of the award caused by the apportionment shall be directed by the arbiter to be paid by those persons in such proportions as he shall determine.
62 Adjustment of compensation in respect of ploughing grants.
In assessing the amount of compensation payable, whether under this Act or under custom or agreement, to the tenant of an agricultural holding comprising land in respect of which a payment in respect of a ploughing grant under Part IV of the Agricultural Development Act, 1939, has been made to the tenant, or has been or is to be applied for by him, if it is shown to the satisfaction of the person assessing the compensation that the improvement or cultivations in respect of which the compensation is claimed was wholly or in part the result of or incidental to the operations by virtue of which the land became eligible for the grant, the grant shall be taken into account as if it had been a benefit allowed to the tenant in consideration of his carrying out the improvement or cultivations, and the compensation shall be reduced to such extent as that person considers appropriate.
63 Compensation not to be payable for things done in compliance with this Act.
(1) Notwithstanding anything in the foregoing provisions of this Act or any custom or agreement—
(a) no compensation shall be payable to the tenant of an agricultural holding in respect of anything done in pursuance of an order under paragraph (b) of subsection (2) of section nine of this Act;
(b) in assessing compensation to an outgoing tenant of an agricultural holding where land has been ploughed up in pursuance of a direction under that section, the value per hectare of any tenant’s pasture comprised in the holding shall be taken not to exceed the average value per hectare of the whole of the tenant’s pasture comprised in the holding on the termination of the tenancy.
In this subsection the expression “tenant’s pasture” means pasture laid down at the expense of the tenant or paid for by the tenant on entering the holding.
(2) The tenant of an agricultural holding shall not be entitled to any compensation for an old improvement specified in Part III of the Second Schedule to this Act or in Part III of the Third Schedule thereto or a new improvement specified in Part III of the First Schedule thereto, being an improvement carried out for the purposes of the proviso to subsection (1) of section thirty-five of the Agricultural Holdings (Scotland) Act, 1923, or of the proviso to subsection (1) of section twelve of this Act.
64 Extent to which compensation recoverable under agreements.
(1) Save as expressly provided in this Act, in any case for which, apart from this section, the provisions of this Act provide for compensation a tenant or a landlord shall be entitled to compensation in accordance with these provisions and not otherwise, and shall be so entitled notwithstanding any agreement to the contrary:
Provided that where the landlord and the tenant of an agricultural holding enter into an agreement in writing for any such variation of the terms of the lease as could be made by direction or order under section nine of this Act, the agreement may provide for the exclusion of compensation in like manner as under subsection (1) of section sixty-three of this Act.
(2) Nothing in the said provisions, apart from this section, shall be construed as disentitling a tenant or a landlord to compensation in any case for which the said provisions do not provide for compensation, but a claim for compensation in any such case as aforesaid shall not be enforceable except under an agreement in writing.
65 Effect of agreement to let or treat an agricultural holding as a market garden.
(1) In the case of an agricultural holding in respect of which it is agreed by an agreement in writing made on or after the first day of January, eighteen hundred and ninety-eight, that the holding shall be let or treated as a market garden—
(a) the provisions of this Act shall apply as if improvements of a kind specified in the Fourth Schedule thereto begun before the thirty-first day of July, nineteen hundred and thirty-one, were included among the improvements specified in Part III of the Second Schedule thereto, as if improvements of such a kind begun on or after that day and before the first day of November, nineteen hundred and forty-eight, were included among the improvements specified in Part III of the Third Schedule thereto, and as if improvements of such a kind begun on or after the said first day of November were included among the improvements specified in Part III of the First Schedule thereto;
(b) section fourteen of this Act shall extend to every fixture or building affixed or erected by the tenant to or upon the holding or acquired by him since the thirty-first day of December, nineteen hundred, for the purposes of his trade or business as a market gardener;
(c) it shall be lawful for the tenant to remove all fruit trees and fruit bushes planted by him on the holding and not permanently set out, but if the tenant does not remove such fruit trees and fruit bushes before the termination of his tenancy they shall remain the property of the landlord and the tenant shall not be entitled to any compensation in respect thereof; and
(d) the right of an incoming tenant to claim compensation in respect of the whole or part of an improvement which he has purchased may be exercised although the landlord has not consented in writing to the purchase.
(2) Where under a lease current on the first day of January, eighteen hundred and ninety-eight, an agricultural holding was at that date in use or cultivation as a market garden with the knowledge of the landlord, and the tenant thereof had then carried out thereon, without having received previously to the carrying out thereof a written notice of dissent from the landlord, an improvement of the kind specified in the Fourth Schedule to this Act (other than one consisting of such an alteration of a building as did not constitute an enlargement thereof) the provisions of this section shall apply in respect of the holding as if it had been agreed in writing after that date that the holding should be let or treated as a market garden, so however that the improvements in respect of which compensation is payable under those provisions as so applied shall include improvements carried out before as well as improvements carried out after that date:
Provided that where such tenancy was a tenancy from year to year, the compensation payable in respect of such an improvement as aforesaid shall be such (if any) as could have been claimed if this Act had not passed.
(3) Where the land to which such agreement relates or so used and cultivated, consists of part of an agricultural holding only, this section shall apply as if that part were a separate holding.
(4) Nothing in this section shall confer a right to compensation for the alteration of a building (not being an alteration constituting an enlargement of the building) where the alteration was begun before the first day of November, nineteen hundred and forty eight.
66 Power of Secretary of State in default of agreement to treat an agricultural holding as a market garden.
(1) Subject to the provisions of this section, where the tenant of an agricultural holding intimates to the landlord in writing his desire to carry out on the holding or any part thereof an improvement specified in the Fourth Schedule to this Act, and the landlord refuses, or within a reasonable time fails, to agree in writing that the holding, or that part thereof, shall be treated as a market garden, the Secretary of State may, on the application of the tenant . . . and after being satisfied that the holding or that part thereof is suitable for the purposes of market gardening, direct that the last foregoing section shall, either in respect of all the improvements specified in the said Fourth Schedule or in respect of some only of those improvements, apply to the holding or to that part thereof, and the said section shall apply accordingly as respects any improvement carried out after the date on which the direction is given.
(2) Where a direction is given under the foregoing subsection, then, if the tenancy is terminated by notice to quit given by the tenant or by reason of the tenant becoming notour bankrupt or executing a trust deed for behoof of his creditors, the tenant shall not be entitled to compensation in respect of improvements specified in the direction unless the tenant not later than one month after the date on which the notice to quit is given or the date of the bankruptcy or the execution of the trust deed, as the case may be, or such later date as may be agreed, produces to the landlord an offer in writing by a substantial and otherwise suitable person (being an offer which is to hold good for a period of three months from the date on which it is produced) to accept a tenancy of the holding from the termination of the existing tenancy thereof, and on the terms and conditions of that tenancy so far as applicable, and, subject as hereinafter provided, to pay to the outgoing tenant all compensation payable under this Act or under the lease, and the landlord fails to accept the offer within three months after the production thereof.
(3) If the landlord accepts any such offer as aforesaid, the incoming tenant shall pay to the landlord on demand all sums payable to him by the outgoing tenant on the termination of the tenancy in respect of rent or breach of contract or otherwise in respect of the holding, and any amount so paid may, subject to any agreement between the outgoing tenant and incoming tenant, be deducted by the incoming tenant from any compensation payable by him to the outgoing tenant.
(4) A direction under subsection (1) of this section may be given subject to such conditions, if any, for the protection of the landlord as the Secretary of State may think fit to attach to the direction, and, without prejudice to the generality of this subsection, where the direction relates to part only of the holding, the direction may, on the application of the landlord, be given subject to the condition that the tenant shall consent to the division of the holding into two parts (one such part being the part to which the direction relates) to be held at rents agreed by the landlord and tenant or in default of agreement determined by arbitration, but otherwise on the same terms and conditions (so far as applicable) as those on which the holding is held.
(5) A new tenancy created by the acceptance of a tenant in accordance with the provisions of this section on the terms and conditions of the existing tenancy shall be deemed for the purposes of section seven of this Act not to be a new tenancy.
67 Agreements as to compensation relating to market gardens.
(1) Where an agreement in writing secures to the tenant to of an agricultural holding for an improvement for which compensation is payable by virtue of either of the two last foregoing sections fair and reasonable compensation, having regard to the circumstances existing at the time of making the agreement, the compensation so secured shall, as respects that improvement, be substituted for compensation under this Act.
(2) The landlord and the tenant of an agricultural holding who have agreed that the holding shall be let or treated as a market garden may by agreement in writing substitute, for the provisions as to compensation which would otherwise be applicable to the holding, the provisions as to compensation set out in subsections (2) and (3) of the last foregoing section.
(1) Without prejudice to any other provision of this Act, any claim of whatever nature by the tenant or the landlord of an agricultural holding against his landlord or his tenant, being a claim which arises—
(a) under this Act or any custom or agreement, and
(b) on or out of the termination of the tenancy of the holding or part thereof,
shall, subject to the provisions of this section, be determined by arbitration.
(2) Without prejudice to any other provision of this Act, no such claim as aforesaid shall be enforceable unless before the expiration of two months from the termination of the tenancy the claimant has served notice in writing on his landlord or his tenant, as the case may be, of his intention to make the claim.
A notice under this subsection shall specify the nature of the claim, and it shall be a sufficient specification thereof if the notice refers to the statutory provision, custom, or term of an agreement under which the claim is made.
(3) The landlord and the tenant may within the period of four months from the termination of the tenancy by agreement in writing settle any such claim as aforesaid, and the Secretary of State may upon the application of the landlord or the tenant made within that period extend the said period by two months and, on a second such application made during these two months, by a further two months.
(4) Where before the expiration of the said period and any extension thereof under the last foregoing subsection any such claim as aforesaid has not been settled, the claim shall cease to be enforceable unless before the expiration of one month from the end of the said period and any such extension, or within such longer time as the Secretary of State may in special circumstances allow, an arbiter has been appointed by agreement between the landlord and the tenant under the provisions of this Act in that behalf or an application for the appointment of an arbiter under those provisions has been made by the landlord or the tenant.
(5) Where a tenant lawfully remains in occupation of part of an agricultural holding after the termination of a tenancy, references in subsections (2) and (3) of this section to the termination thereof shall be construed as references to the termination of the occupation.
(6) This section shall not apply to a claim arising on or out of the termination of a tenancy before the first day of November, nineteen hundred and forty-eight.
Any award or agreement under this Act as to compensation, expenses or otherwise may, if any sum payable thereunder is not paid within one month after the date on which it becomes payable, be recorded for execution in the books of council and session or in the sheriff court books, and shall be enforceable in like manner as a recorded decree arbitral.
70 Power of tenant to obtain charge on holding in respect of compensation.
(1) Where on or after the first day of November, nineteen hundred and forty-eight, any sum has become payable to the tenant of an agricultural holding in respect of compensation by the landlord and the landlord has failed to discharge his liability therefor within one month after the date on which the sum became payable, the Secretary of State may, on the application of the tenant and after giving not less than fourteen days’ notice of his intention so to do to the landlord, create, where the landlord is the absolute owner of the holding, a charge on the holding, or where the landlord is the lessee of the holding under a lease recorded under the Registration of Leases (Scotland) Act, 1857, a charge on the lease for the payment of the sum due.
(2) For the purpose of creating a charge under this section for the payment of any sum due, the Secretary of State may make in favour of the tenant a charging order charging and burdening the holding or the lease, as the case may be, with an annuity to repay the sum due together with the expenses of obtaining the charging order and recording it in the appropriate Register of Sasines; and the provisions of subsection (2) and subsections (4) to (10) of section 65 of the Water (Scotland) Act, 1980, shall, with the following and any other necessary modifications, apply to any such charging order—
(a) for any reference to the islands or district council there shall be substituted a reference to the Secretary of State;
(b) for any reference to the period of thirty years there shall be substituted a reference to such period (not exceeding thirty years) as the Secretary of State may determine
(c) for references to Part V of the said Act of 1980 there shall be substituted references to this Act.
(3) The creation of a charge on a holding or the lease of a holding under this section shall not be deemed to be a contravention of any prohibition against charging or burdening contained in the deed or instrument under which the holding is held.
The provisions of the Small Landholders (Scotland) Acts, 1886 to 1931, with regard to the Land Court shall, with any necessary modifications, apply for the purpose of the determination of any matter which they are required by or under this Act to determine, in like manner as those provisions apply for the purpose of the determination by the Land Court of matters referred to them under those Acts.
Save as otherwise expressly provided in this Act, any question or difference of any kind whatsoever between the landlord and the tenant of an agricultural holding arising out of the tenancy or in connection with the holding (not being a question or difference as to liability for rent) shall, whether such question or difference arises during the currency or on the termination of the tenancy, be determined by arbitration.
(1) Any matter which by or under this Act, or by regulations made thereunder, or under the lease of an agricultural holding is required to be determined by arbitration shall, whether the matter arose before or after the passing of this Act, be determined, notwithstanding any agreement under the lease or otherwise providing for a different method of arbitration, by a single arbiter in accordance with the provisions of the Sixth Schedule to this Act, and the Arbitration (Scotland) Act, 1894, shall not apply to any such arbitration.
(1A) An appeal by way of application by any party to an arbitration under section 7(1) of this Act (variation of rent) shall on any question of law or fact (including the amount of the award) lie to the Land Court against the award of any arbiter appointed by the Secretary of State or the Land Court:
Provided that any such appeal under this subsection must be brought within two months of the date of issue of the award.
(2) The Secretary of State may by rules make such provision as he thinks desirable for expediting, or reducing the expenses of, proceedings on arbitrations under this Act:
Provided that the Secretary of State shall not make rules inconsistent with the provisions of the Sixth Schedule to this Act.
(3) The power conferred by the last foregoing subsection on the Secretary of State shall be exercisable by statutory instrument which shall be subject to annulment in pursuance of a resolution of either House of Parliament.
(4) This section and the last foregoing section shall not apply to valuations of sheep stocks, dung, fallow, straw, crops, fences and other specific things the property of an out-going tenant, agreed under a lease to be taken over from him at the termination of a tenancy by the landlord or the incoming tenant, or to any questions which it may be necessary to determine in order to ascertain the sum to be paid in pursuance of such agreement, and that whether such valuations and questions are referred to arbitration under the lease or not.
76 Constitution of panel of arbiters, and provisions as to remuneration of arbiter.
(1) Such number of persons as may be appointed by the Lord President of the Court of Session, after consultation with the Secretary of State, shall form a panel of persons from whom any arbiter appointed, otherwise than by agreement, for the purposes of an arbitration under and in accordance with the provisions of the Sixth Schedule to this Act shall be selected.
(2) The panel of arbiters constituted under the foregoing subsection shall be subject to revision by the Lord President of the Court of Session, after such consultation as aforesaid, at such intervals not exceeding five years, as the Lord President and the Secretary of State may from time to time agree.
(3) The remuneration of an arbiter appointed as aforesaid by the Secretary of State shall be such amount as is fixed by the Secretary of State, and the remuneration of an arbiter appointed by the parties to any such arbitration shall, in default of agreement between those parties and the arbiter, be such amount as, on the application of the arbiter or of either of the parties, is fixed by the auditor of the sheriff court, subject to appeal to the sheriff.
(4) The remuneration of an arbiter, when agreed or fixed under this section, shall be recoverable by the arbiter as a debt due from either of the parties to the arbitration, and any amount paid in respect of the remuneration of the arbiter by either of those parties in excess of the amount (if any) directed by the award to be paid by him in respect of the expenses of the award shall be recoverable from the other party to the arbitration.
77 Appointment of arbiter in cases to which the Secretary of State is a party.
Where the Secretary of State is a party to any question or difference which under this Act is to be determined by arbitration or by an arbiter appointed in accordance with the provisions of this Act, the arbiter shall, in lieu of being appointed by the Secretary of State, be appointed by the Land Court, and the remuneration of the arbiter so appointed shall be such amount as may be fixed by the Land Court.
78 Determination of questions by Land Court in lieu of arbitration.
Any question or difference between the landlord and the tenant of an agricultural holding which by or under this Act or under the lease is required to be determined by arbitration may, if the landlord and the tenant so agree, in lieu of being determined in pursuance of subsection (1) of section seventy-five of this Act be determined by the Land Court, and the Land Court shall, on the joint application of the landlord and the tenant, determine such question or difference accordingly.
79 Power of Secretary of State to vary First and Fourth Schedules to this Act.
(1) The Secretary of State may, after consultation with persons appearing to him to represent the interests of landlords and tenants of agricultural holdings, by order vary the provisions of the First and Fourth Schedules to this Act.
(2) An order under this section may make such provision as to the operation of this Act in relation to tenancies current when the order takes effect as appears to the Secretary of State to be just having regard to the variation of the said Schedules effected by the order:
Provided that nothing in any order made under this section shall affect the right of a tenant to claim, in respect of an improvement made or begun before the date on which such order takes effect, any compensation to which, but for the making of the order, he would have been entitled.
(3) An order under this section shall be embodied in a statutory instrument which shall be of no effect unless approved by resolution of each House of Parliament.