Agricultural Holdings (Scotland) Act 2003

52 Compensation for disturbance

(1) Where—

(a) any land is resumed under section 17; or

(b) a short limited duration tenancy or a limited duration tenancy terminates by notice under subsection (3) of that section,

compensation for disturbance is payable by the landlord to the tenant.

(2) Subsections (3) to (6) of section 43 (compensation for disturbance) of the 1991 Act apply in relation to compensation payable under subsection (1) above as they do in relation to compensation payable under that section, but as if—

(a) in those subsections, the references to the holding were references to the land;

(b) in subsection (6)—

(i) the reference to the tenant of an agricultural holding were a reference to the tenant of the short limited duration tenancy or limited duration tenancy; and

(ii) the reference to a notice to quit given by the landlord were a reference to the termination of the tenancy; and

(c) where the resumption under section 17 is of part of the land—

(i) the references to the land in those subsections of section 43 of that Act by virtue of paragraph (a) of this subsection were references to that part; and

(ii) the references to the rent in subsection (4)(a) and (b) of that section were references to the rent proportionate to the part.

(3) Where the tenancy terminates as mentioned in subsection (1)(b) and—

(a) the part of the land affected by the notice under subsection (2) of section 17, together with any part of the land resumed following a previous such notice is—

(i) less than a quarter of the original area of the land comprised in the lease constituting the tenancy; or

(ii) of a rental value less than a quarter of the rental value of that area of land; and

(b) the remainder of the land is reasonably capable of being farmed separately,

compensation is payable under subsection (1) only in respect of the part of the land to which the notice relates.

(4) In a case mentioned in subsection (2)(c), in determining the amount of compensation payable, account is to be taken of any benefit or relief allowed to the tenant under the lease in respect of the part resumed.

(5) Where compensation is payable under subsection (1)(a), in addition to that compensation, compensation is payable by the landlord to the tenant of an amount equal to the additional benefit (if any) which would have accrued to the tenant if the land (instead of being resumed on the date of resumption) had been resumed on the expiry of the period of 12 months from the end of the year of tenancy current at the date 2 months before the date of resumption.