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Key definition
Tenant definition

What does Tenant mean? The person who takes a lease of land or premises and holds exclusive possession for a defined term, usually paying rent, under a lease or tenancy agreement. Usage is broadly consistent across England & Wales, Scotland, Northern Ireland and Ireland, and contrasts with a licensee (who lacks exclusive possession). Whether someone is a tenant is determined primarily by the grant of exclusive possession for a term, as recognised in case law (for England & Wales, Street v Mountford). Statutes define tenant for particular regimes, including: Housing Act 1988 (assured/AST) and Landlord and Tenant Act 1954 (England & Wales); Private Housing (Tenancies)...

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Agricultural holdings: tenant diversification under the Agricultural Holdings (Scotland) Act 2003 - procedure, landlord objections, Land Court, rent and compensation

Practice notes
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Diversification at Common law

Diversification, i.e. employing the holding for a non-agricultural end not authorised by the lease, would, at common law, amount to a breach of the lease and, in many instances, could additionally trigger a conventional Irritancy, in appropriate circumstances and contexts, by the landlord as well. For more detail, see: Diversification: Stair Memorial Encyclopaedia [107K].

Statutory Diversification

Part 3 of the Agricultural Holdings (Scotland) Act 2003 (AH(S)A 2003) confers on agricultural tenants a right to diversify by putting the land to a non-agricultural use. That right extends to 1991 Act Tenancies and to 2003 Act Tenancies, save for short limited duration tenancies (SLDTs). Although diversification may, at common law, constitute an inversion of possession and change the character of the lease from that of an agricultural holding (to which the Agricultural Holdings (Scotland) Acts apply), if—and only if—the statutory process is observed, the lease continues to be agricultural in nature despite the altered use. The legislation does not seem to preclude the possibility that, in principle, the entirety of the land let under the lease might be used for a diversified purpose. Not every activity that could, in general terms, be labelled ‘diversified’ enjoys protection...

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Emma Robertson
Emma Robertson

Emma Robertson is accredited by the Law Society of Scotland as a Specialist in Agricultural Law. She has experience across the board in respect of all aspects of rural legal work from the purchase and sale of farms and estates to onshore renewables. Emma has a particular interest in agricultural law and acts for both landlords and tenants across Scotland. Her experience includes the preparation of new agricultural leases including 1991 Act tenancies and fixed duration tenancies, advising on aspects of tenancies including rent reviews, tenant’s improvements, the relinquishment procedure, succession and waygo....

Web page updated on 22/05/2026

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Date [ date ] Parties [ name of Landlord ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Landlord) [ name of Tenant ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Tenant) [ [ name of Guarantor ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Guarantor) ] [ [ name of Mortgagee ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Mortgagee) ] Definitions Within this Deed, the terms below shall be interpreted as follows: [ Annual Rent • the annual sum reserved under the Lease; ] [ Insurance Rent • the Tenant’s share of the Landlord’s costs of insuring the Property (as set out in the Lease); ] Lease • the lease of the Property dated [ date ], entered into between (1) [ the Landlord OR [ name ...

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