Regulation 8 Effect of land transfers on special quota

(1)

Subject to paragraphs (4) and (5), where a producer has special quota registered in his name and before the relevant date sells or leases the holding or a part of the holding—

(a)

that special quota shall be returned to the national reserve if the holding is sold or leased by the producer; and

(b)

a proportion of that special quota shall be returned to the national reserve if only part of the holding is sold or leased by the producer.

(2)

In paragraph (1) “the relevant date” means—

(a)

1st July 1994 where the producer holds special quota of the kind referred to in Article 4(3) of the Council Regulation; and

(b)

1st October 1996 where the producer holds special quota of the kind referred to in Article 1(1) of Council Regulation 2055/93.

(3)

The proportion of special quota which is to be returned to the national reserve in accordance with paragraph (1)(b) shall be the same proportion which the agricultural area of the holding sold or leased bears to the total agricultural area farmed by the producer.

(4)

This regulation shall not apply where the transfer of the holding or any part of it is effected by means of the grant of one of the following—

(a)

a licence to occupy land;

(b)

a tenancy of any land under which a holding, or part of a holding, in England and Wales is occupied for a period of less than ten months;

(c)

a lease of any land under which a holding, or part of a holding, in Scotland is occupied for a period of less than eight months; or

(d)

a tenancy of any land under which a holding, or part of a holding, in Northern Ireland is occupied for a period of less than twelve months;

(5)

No part of the special quota shall be returned to the national reserve where the holding or any part of it is transferred—

(a)

on inheritance;

(b)

by gift for which no consideration is given;

(c)

by the granting of a tenancy following a direction under section 39 or section 53 of the Agricultural Holdings Act 1986^f1 (direction for grant of tenancy to successor on death or retirement of previous tenant);

(d)

by the granting of a tenancy (following a direction under section 39 of that Act) in circumstances within section 45(6) of that Act (new tenancy granted by agreement to persons entitled to tenancy under direction);

(e)

by the granting of such a tenancy as is referred to in section 37(1)(b) or (2) of that Act (tenancy granted by agreement to close relatives); or

(f)

by the granting of a tenancy other than under paragraphs (c), (d) or (e) of this paragraph by the landlord to a successor of a tenant who has died or retired,

and the person to whom the holding or any part of it is transferred undertakes to comply with the requirements in relation to special quota in accordance with the undertakings of his predecessor.

Annotations

Footnotes

f1: 1986 c. 5.