# The Milk (Cessation of Production) (England and Wales) Scheme 1987, Section 12: Landlord’s right to payment

Extent: E+W

(1) Subject to sub-paragraph (4), where a successful applicant occupies his holding, or any part of that holding, as a tenant, each of his landlords shall be entitled to obtain from the tenant a payment in respect of the relevant quota.
(2) The payment to which a landlord is entitled under sub-paragraph (1) shall be an amount agreed between the tenant and the landlord or, in default of agreement—
(a) where the tenant has only one landlord, the landlord’s amount; and
(b) where the tenant has two or more landlords, such proportion of the landlord’s amount as shall be agreed or determined in accordance with paragraph 14.
(3) The landlord’s amount or, where sub-paragraph (2)(b) applies, the proportion of the landlord’s amount to which a landlord is entitled, shall be payable in 7 equal yearly instalments, each instalment being due—
(a) on the day after the day on which the tenant receives his instalment of compensation; or
(b) where, in respect of any quota year, the tenant (by reason of his death or any default of his) does not receive an instalment of compensation, at the end of the period of 3 months after the date on which that instalment would have otherwise become due.
(4) Where—
(a) a successful applicant who is a tenant dies before he has received all his instalments of compensation, and
(b) a successor of the deceased tenant enters into that tenant’s obligation for the purposes of paragraph 4,
any landlord of the deceased tenant shall be entitled to recover from the successor such instalments of the payment referred to in sub-paragraph (2) as become due to that landlord on or after the date on which that successor entered into those obligations; and from that date, the landlord shall no longer be entitled to recover those instalments from the estate of the deceased tenant.

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Source: https://www.legislation.gov.uk/uksi/1987/908/section/12 (the official version)
Page: https://openlegislation.uk/milk-cessation-of-production-england-and-wales-scheme-1987/section-12
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.