1 Market gardens – definition
10.02 The Agricultural Holdings Act 1986 confers special rights as to compensation and removal of fixtures on the tenant of a market garden, in addition to rights enjoyed in common with other tenants of agricultural holdings.
A market garden does not qualify for enhanced compensation, however, unless it is a ‘market garden’ within the narrow terms of the 1986 Act. A tenancy of a market garden created under the ‘Evesham Custom’ is one of the exceptional cases where the 1986 Act will continue to apply after 1 September 1995.3 This requires one of two things:(a)Agreement in writing. The parties can agree in writing that the holding shall be let or treated as a market garden, or that part of it shall.4 If part only is agreed to be so let, then the compensation provisions apply to that part as if it were a separate holding.
(b)Direction of First Tier or Agricultural Land Tribunal. The tenant may wish to make one or more of the improvements for which special compensation is provided by Sch 10. If this is the case, and the landlord refuses, or fails within a reasonable time to agree in writing that the holding be treated as a market garden, then the tenant can apply to the tribunal5 for a direction that the holding be treated as a market garden.6 If the tribunal are satisfied that the holding (or part) is suitable for market gardening, they can direct that the enhanced rights to compensation, etc shall apply to all or some of the proposed improvements.7 The direction can be given subject to such conditions as the tribunal think fit for the protection of the landlord.8 In particular, s 80(7) gives the tribunal power to direct that the direction will only become operative if the tenant agrees to the division of the holding into two parts, only one of which is to be treated as a market garden. A new tenancy accepted by the tenant in accordance with a tribunal direction is not treated as a new tenancy for rent review purposes, and will not restart the three year review cycle.9