Changes to Transfer of Croft Tenancies on Death

All Crofters should be aware of the importance of making a Will when your estate includes a croft tenancy, however not all will be aware of the important steps which must be taken and time limits which must be complied with, following the death of a crofter, to ensure the tenancy is properly transferred to the correct person or persons. These time limits have been altered by recent changes to the law.

Where a croft tenancy is left in a Will, the executor (person administering the estate) and the beneficiary (person to whom the croft tenancy has been left in the Will) have a period of one year from the date of death to notify the Landlord of the transfer of the tenancy. Where a croft tenant dies without a Will, then the executor has a period of two years from the date of death to find a tenant, obtain Confirmation in the estate from the local Sheriff Court, and notify the Landlord of the transfer. If the transfer is not notified within the two year period, the Landlord has the automatic right to terminate the tenancy. This right is absolute.

The one and two year periods may appear to give executors and beneficiaries plenty of time to carry out the relevant notifications, but the dangers of running out of time cannot be overstated. Triggering the landlord’s right to terminate should be avoided at all costs.

 

This Briefing has been produced for information purposes only and is based on the law and other information available at the time of writing. We cannot be held responsible for any losses incurred through acting or failing to act on the basis of anything contained in this Briefing.

If you require advice on any of the matters referred to, please contact us so that we can advise you, taking account of your own particular circumstances and requirements.

July 18, 2014