Land Compensation (Scotland) Act 1973

• (1) Subject to the provisions of this section, the amount of any farm loss payment shall be equal to the average annual profit derived from the use for agricultural purposes of the agricultural land comprised in the land acquired; and that profit shall be computed by reference to the profits for the three years ending with the date of displacement or, if the person concerned has then been in occupation for a shorter period, that period.

• (2) Where accounts have been made up in respect of the profits of the person concerned for a period or consecutive periods of twelve months and that period or the last of them ends not more than one year before the date of displacement, subsection (1) above shall have effect as if the date on which that period or the last of those periods ends were the date of the displacement.

• (3) Where the date of displacement is determined in accordance with section 31(3)(c) above and the person concerned has on that date been in occupation for more than three years, he may elect that the average annual profit shall, instead of being computed by reference to the profits for the years mentioned in subsection (1) above, be computed by reference to the profits for—

• (a) any three consecutive periods of twelve months for which accounts in respect of his profits have been made up, being periods for which he has been in occupation and the last of which ends on or after the date of completion of the acquisition; or

• (b) if there are no such periods as aforesaid, any three consecutive years for which he has been in occupation and the last of which ends on or after the date mentioned in paragraph (a) above.

• (4) In calculating the profits mentioned in subsection (1) above there shall be deducted a sum equal to the rent that might reasonably be expected to be payable in respect of the agricultural land comprised in the land acquired if it were let for agricultural purposes to a tenant responsible for rates, repairs and other outgoings; and that deduction shall be made whether or not the land is in fact let and, if it is, shall be made to the exclusion of any deduction for the rent actually payable.

• (5) In calculating the profits mentioned in subsection (1) above there shall be left out of account profits from any activity if a sum in respect of loss of profits from that activity would fall to be included in the compensation, so far as attributable to disturbance, for the acquisition of the interest in the land acquired.

• (6) Where the value of the agricultural land comprised in the land acquired exceeds the value of the agricultural land comprised in the new unit the amount of the farm loss payment shall be proportionately reduced.

• (7) For the purposes of subsection (6) above the value of any land shall be assessed—

• (a) on the basis of its value as land used solely for agriculture and as for an interest as owner thereof with vacant possession;

• (b) by reference to the condition of the land and its surroundings and to prices current—

• (i) in the case of the land comprised in the land acquired, on the date of displacement;

• (ii) in the case of land comprised in the new unit, on the date on which the person concerned begins to farm the new unit;

• (c) in accordance with rules (2) to (4) of the rules set out in section 12 of the Land Compensation (Scotland) Act 1963;

• (d) without regard to the principal dwelling, if any, comprised in the same agricultural unit as that land.

• (8) The amount of a farm loss payment shall not be greater than the amount, if any, by which—

• (a) that payment, calculated apart from this subsection, together with compensation for the acquisition of the interest in the land acquired assessed on the assumptions mentioned in section 5(2), (3) and (4) above, (including any sum included as compensation for disturbance), exceeds

• (b) the compensation actually payable for the acquisition of that interest.

• (9) Any dispute as to the amount of a farm loss payment shall be referred to and determined by the Lands Tribunal.

Supplementary provisions about farm loss payments

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• (1) Subject to subsection (7) below, no farm loss payment shall be made except on a claim in that behalf made by the person entitled thereto before the expiration of the period of one year beginning with the date on which the requirement in section 31(1)(b) above is complied with, and any such claim shall be in writing and shall be accompanied or supplemented by such particulars as the acquiring authority may reasonably require to enable them to determine whether that person is entitled to a payment and, if so, its amount.

• (2) Where the agricultural unit containing the land acquired is occupied for the purposes of a partnership firm sections 31 and 32 above shall have effect in relation to the firm and not the partners individually (any interest of a partner in the land acquired being treated as an interest of the firm) except that the requirements in section 31 as to the new unit shall be treated as complied with in relation to the firm as soon as they are complied with by any one of the persons who were members of the firm.

• (3) Where a person dies before the expiration of the period for making a claim to a farm loss payment and would have been entitled to such a payment if he had made a claim within that period, a claim to that payment may be made, before the expiration of that period, by his personal representative.

• (4) Where an interest in land is acquired by agreement by an authority possessing compulsory purchase powers, the authority may, in connection with the acquisition, make to the person from whom the interest is acquired a payment corresponding to any farm loss payment which they would be required to make to him if the acquisition were compulsory and the authority (if not authorised to acquire the interest compulsorily) had been so authorised on the date of the agreement.

• (5) Where a farm loss payment is made to any person the authority making the payment shall also pay any reasonable valuation or legal expenses incurred by that person for the purposes of the preparation and prosecution of his claim to the payment; but this subsection is without prejudice to the powers of the Lands Tribunal in respect of the expenses of proceedings before the Tribunal by virtue of section 32(9) above.

• (6) A farm loss payment shall carry interest, at the rate for the time being prescribed under section 40 of the Land Compensation (Scotland) Act 1963, from the date mentioned in subsection (1) above until payment.

• (7) Where the date mentioned in subsection (1) above is before 23rd May 1973 the period within which a claim to a farm loss payment can be made shall be the period of one year beginning with 23rd May 1973.

Disturbance payments

Disturbance payments for persons without compensatable interests

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• (1) Where a person is displaced from any land in consequence of—

• (a) the acquisition of the land by an authority possessing compulsory purchase powers;

• (b) the making, passing or acceptance of a housing order, resolution or undertaking in respect of a house or building on the land;

• (c) where the land has been previously acquired by an authority possessing compulsory purchase powers or appropriated by a local authority and is for the time being held by the authority for the purposes for which it was acquired or appropriated, the carrying out of any improvement to a house or building on the land or of redevelopment on the land,

• (d) the carrying out of any improvement to a house or building on the land or of redevelopment on the land by a housing association which has previously acquired the land and at the date of the displacement is registered,

• (e) a requirement to remove from a building on the land in pursuance of section 29 of the Building (Scotland) Act 2003 (asp 8) (dangerous buildings) or any other enactment which requires the demolition of the building on account of its condition,

he shall, subject to the provisions of this section, be entitled to receive a payment (hereafter referred to as a “disturbance payment”) from

• (i) where paragraph (a) above applies, the acquiring authority;

• (ii) where paragraph (b) above applies, the authority who made the order, passed the resolution or accepted the undertaking;

• (iii) where paragraph (c) above applies, the authority carrying out the improvement or redevelopment; and

• (iv) where paragraph (d) above applies; the housing association carrying out the improvement or redevelopment.

• (v) where paragraph (e) above applies; the authority requiring the removal

• (2) A person shall not be entitled to a disturbance payment—

• (a) in any case, unless he is in lawful possession of the land from which he is displaced;

• (b) in a case within subsection (1)(a) above, unless either—

• (i) he has no interest in the land for the acquisition or extinguishment of which he is (or if the acquisition or extinguishment were compulsory would be) entitled to compensation under any other enactment; or

• (ii) he has such an interest as aforesaid but the compensation is subject to a site value provision and he is not (or if the acquisition were compulsory would not be) entitled in respect of that acquisition to an owner-occupier’s supplement;

• (c) in a case within subsection (1)(b) above, if he is entitled to an owner-occupier’s supplement by reference to the order, resolution or undertaking.

• (d) in a case within subsection (1)(d) above, unless the displacement occurred on or after 31st July 1974 (on which date the Housing Act 1974 was passed).

In this subsection “site value provision” means section 121 ... the Housing (Scotland) Act 1987 and “owner occupier’s supplement” means a payment under sections 308 to 311 of that Act.

• (3) For the purposes of subsection (1) above a person shall not be treated as displaced in consequence of any such acquisition improvement or redevelopment as is mentioned in paragraph (a), (c) or (d) of that subsection unless he was in lawful possession of the land—

• (a) in the case of land acquired under a compulsory purchase order, at the time when notice was first published of the making of the compulsory purchase order prior to its submission for confirmation or, where the order did not require confirmation, of the preparation of the order in draft;

• (b) in the case of land acquired under an Act specifying the land as subject to compulsory acquisition, at the time when the provisions of the Bill for that Act specifying the land were first published;

• (c) in the case of land acquired by agreement, at the time when the agreement was made;

and a person shall not be treated as displaced in consequence of any such order, resolution undertaking or requirement to remove as is mentioned in paragraph (b) or (e) of that subsection unless he was in lawful possession as aforesaid at the time when the order was made, the resolution was passed the undertaking was accepted or he was required to remove.

• (3) For the purposes of subsection (1) above a person shall not be treated as displaced in consequence of (a) the carrying out of any improvement to a house or building or; (a) a requirement to remove as mentioned in subsection (1)(e) above unless he is permanently displaced in consequence of the carrying out of the improvement in questionor removal as the case may be.

• (4) Where a person is displaced from any land as mentioned in subsection (1) above but is not entitled, as against the authority there mentioned, to a disturbance payment or to compensation for disturbance under any other enactment, the authority may, if they think fit, make a payment to him determined in accordance with section 35(1) to (3) below.

• (5) A disturbance payment shall carry interest, at the rate for the time being prescribed under section 40 of the Land Compensation (Scotland) Act 1963, from the date of displacement until payment.

• (6) This section does not apply to any land which is used for the purposes of agriculture.

• (7) In section 71(4) of the Housing (Financial Provisions)(Scotland) Act 1972 (financial assistance towards tenants’ removal expenses) for the words from “160” to the end there shall be substituted the words “ 34 of the Land Compensation (Scotland) Act 1973 (disturbance payments for persons without compensatable interests) ”.

• (8) In this section “a housing order, resolution or undertaking”“improvement” and “redevelopment” have the same meaning as in section 27 above.

• (9) Subject to subsection (2)(d) above, this section applies if the date of displacement is on or after 17th October 1972 except that, where the displacement is in consequence of the circumstances referred to in subsection (1)(e) above, it applies if the date of displacement is on or after the coming into force of paragraph 13 of Schedule 2 to the Housing (Financial Provisions) (Scotland) Act 1978.

Amount of disturbance payment

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• (1) The amount of a disturbance payment shall be equal to—

• (a) the reasonable expenses of the person entitled to the payment in removing from the land from which he is displaced; and

• (b) if he was carrying on a trade or business on that land, the loss he will sustain by reason of the disturbance of that trade or business consequent upon his having to quit the land.

• (2) In estimating the loss of any person for the purposes of subsection (1)(b) above, regard shall be had to the period for which the land occupied by him may reasonably have been expected to be available for the purposes of his trade or business and to the availability of other land suitable for that purpose.

This subsection has effect subject to section 43(7) below.

• (3) Where the displacement is from a dwelling in respect of which structural modifications have been made for meeting the special needs of a disabled person (whether or not the person entitled to the disturbance payment) then, if—

• (a) a local authority having duties under section 12 of the Social Work (Scotland) Act 1968 or section 23 of the Children (Scotland) Act 1995, provided assistance, or

• (b) such an authority would, if an application had been made, have provided assistance,

for making those modifications, the amount of the disturbance payment shall include an amount equal to any reasonable expenses incurred by the person entitled to the payment in making, in respect of a dwelling to which the disabled person removes, comparable modifications which are reasonably required for meeting the disabled person’s special needs.

• (4) Any dispute as to the amount of a disturbance payment shall be referred to and determined by the Lands Tribunal.

Rehousing

Duty to rehouse residential occupiers

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• (1) Where a person is displaced from residential accommodation on any land in consequence of—

• (a) the acquisition of the land by an authority possessing compulsory purchase powers;

• (b) the making, passing or acceptance of a housing order, resolution or undertaking in respect of a house or building on the land;

• (c) where the land has been previously acquired by an authority possessing compulsory purchase powers or appropriated by a local authority and is for the time being held by the authority for the purposes for which it was acquired or appropriated, the carrying out of any improvement to a house or building on the land or of redevelopment on the land,

• (d) a requirement to remove the building containing the residential accommodation in pursuance of section 29 of the Building (Scotland) Act 2003 (asp 8) (dangerous buildings), or any other enactment which requires the demolition of the building on account of its condition,

and suitable alternative residential accommodation on reasonable terms is not otherwise available to that person, then, subject to the provisions of this section, it shall be the duty of the relevant authority to secure that he will be provided with such other accommodation.

• (2) Subsection (1) above shall not by virtue of paragraph (a) thereof apply to a person if the acquisition is in pursuance of the service by him of a blight notice within the meaning of section 100 of the Town and Country Planning (Scotland) Act 1997.

• (3) Subsection (1) above shall not apply to any person who is a trespasser on the land or who has been permitted to reside in any house or building on the land pending its demolition or improvement.

• (4) Subsection (1) above shall not apply to any person to whom money has been advanced—

• (a) under section 38 below;

• (b) under the Small Dwellings Acquisition (Scotland) Acts 1899 to 1923 or section 49 of the Housing (Financial Provisions) (Scotland) Act 1968 ...; or

• (c) by a development corporation otherwise than under section 38 below,

for the purpose of enabling him to obtain accommodation in substitution for that from which he is displaced as mentioned in that subsection.

• (5) Subsection (1)(a) above shall not apply to any acquisition of land in relation to which the Secretary of State has before 23rd May 1973 decided under paragraph 1 of Schedule 8 to the Housing (Scotland) Act 1966 that a housing scheme is not necessary.

• (6) For the purposes of subsection (1) above a person shall not be treated as displaced in consequence of any such acquisition improvement or redevelopment as is mentioned in paragraph (a) or (c) of that subsection unless he was residing in the accommodation in question—

• (a) in the case of land acquired under a compulsory purchase order, at the time when notice was first published of the making of the order prior to its submission for confirmation or, where the order did not require confirmation, of the preparation of the order in draft;

• (b) in the case of land acquired under an Act specifying the land as subject to compulsory acquisition, at the time when the provisions of the Bill for the Act specifying the land were first published;

• (c) in the case of land acquired by agreement, at the time when the agreement was made;

and a person shall not be treated as displaced in consequence of any such order, resolution undertaking or requirement as is mentioned in paragraph (b) or (d) of that subsection unless he was residing in the accommodation in question at the time when the order was made, the resolution was passed the undertaking was accepted or he was required to remove.

• (7) Subject to subsection (8) below, “the relevant authority” for the purposes of this section is the local authority having functions in relation to the district where the land is situated under Part I of the Housing (Scotland) Act 1987.

• (8) Where the land is in an area designated as the site of a new town—

• (a) paragraph (c) of subsection (1) above shall apply if the land on which the redevelopment is carried out has been previously acquired by the development corporation and is for the time being held by that corporation;

• (b) the development corporation shall, in a case falling within paragraph (a) or (c) of that subsection, be the relevant authority for the purposes of this section.

• (9) In this section “a housing order, resolution or undertaking”“improvement” and “redevelopment” have the same meaning as in section 27 above.

Duty to rehouse certain caravan dwellers

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• (1) Section 36 above shall, so far as applicable, have effect in relation to a person residing in a caravan on a caravan site who is displaced from that site as it has effect in relation to a person displaced from residential accommodation on any land but shall so have effect subject to the following modifications.

• (2) Subsection (1) of the said section 36 shall have effect—

• (a) as if for the words preceding paragraph (a) there were substituted the words “Where a person residing in a caravan on a caravan site is displaced from that site in consequence of”; and

• (b) as if for the words following paragraph (c) there were substituted the words “and neither suitable residential accommodation nor a suitable alternative site for stationing a caravan is available to that person on reasonable terms, then, subject to the provisions of this section, it shall be the duty of the relevant authority to secure that he will be provided with suitable residential accommodation.”.

• (3) Subsection (6) of the said section 36 shall have effect as if in the words preceding paragraph (a) for the words “unless he was residing in the accommodation in question” there were substituted the words “unless he was residing in a caravan on the caravan site in question”.

• (4) The said section 36 shall have effect as if in any provision not modified as aforesaid for any reference to land there were substituted a reference to a caravan site.

• (5) In this section “caravan site” has the same meaning as in section 30 above.

Power of relevant authority to make advances repayable on maturity to displaced residential owner-occupiers

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• (1) Where a person displaced from a dwelling in consequence of any of the matters mentioned in subsection (1)(a), (b) or (c) of section 36 above—

• (a) is an owner-occupier of the dwelling; and

• (b) wishes to acquire or construct another dwelling in substitution for that from which he is displaced,

the relevant authority for the purposes of that section may advance money to him for the purpose of enabling him to acquire or construct the other dwelling.

• (2) The power conferred by this section shall be exercisable subject to such conditions as may be approved by the Secretary of State and the following provisions shall apply with respect to any advance made in the exercise of that power.

• (3) The advance shall be made—

• (a) on terms providing for the payment of the principal—

• (i) at the end of a fixed period, with or without a provision allowing the authority to extend that period; or

• (ii) upon notice given by the authority,

subject, in either case, to a provision for earlier repayment on the happening of a specified event;

• (b) on such other terms as the authority may think fit having regard to all the circumstances.

• (4) An advance for the construction of a dwelling may be made by instalments from time to time as the works of construction progress.

• (5) The principal of the advance, together with interest thereon, shall be secured by a heritable security of the borrower’s interest in the dwelling, and the amount of the principal shall not exceed the value which, in accordance with a valuation duly made on behalf of the relevant authority, it is estimated that the borrower’s interest will bear or, as the case may be, will bear when the dwelling has been constructed.

• (6) Before advancing money under this section the relevant authority shall satisfy themselves that the dwelling to be acquired meets or will meet the tolerable standard as determined for the purposes of the Housing (Scotland) Act 1987 by section 86 of that Act.

• (7) While the payment of the principal of an advance made by a local authority under this section is not required in accordance with the terms of the advance, the local authority may suspend, with respect to so much of any sum borrowed by them as is referable to the advance, any periodical provision for repayment that may be required by any enactment.

• (8) The power conferred by this section on a relevant authority is without prejudice to any power to advance money exercisable by the authority under any other enactment.

• (9) In this section “owner-occupier” in relation to any dwelling, means a person who occupies it on the date of displacement and either—

• (a) occupies it on that date in right of an owner’s interest or a lease of which not less than three years remain unexpired or by virtue of a tenancy or other interest to which the Crofters (Scotland) Acts 1955 and 1961 or the Small Landholders (Scotland) Acts 1886 to 1931 apply; or

• (b) if the displacement is in consequence of the matters mentioned in paragraph (c) of section 36(1) above, occupied it in right of such an interest or lease or by virtue of such a tenancy or interest on the date on which the land was acquired or appropriated as mentioned in that paragraph.

• (10) In this section references to the construction of a dwelling include references to the acquisition of a building and its conversion into a dwelling and to the conversion into a dwelling of a building previously acquired.

Duty of displacing authority to indemnify rehousing or lending authority for net losses

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• (1) Where a relevant authority within the meaning of section 36 above provide or secure the provision of accommodation for any person in pursuance of subsection (1)(a) or (c) of that section, then, if—

• (a) the authority providing the accommodation (“the rehousing authority”) are not the same as the authority by whom the land in question is acquired or redeveloped (“the displacing authority”); and

• (b) the displacing authority are not an authority having functions under Part I of the Housing (Scotland) Act 1987

the displacing authority shall make to the rehousing authority periodical payments, or if the rehousing authority so require a lump sum payment, by way of indemnity against any net loss in respect of the rehousing authority’s provision of that accommodation which may be incurred by that authority in any year during the period of ten years commencing with the year in which the accommodation is first provided.

• (2) For the purposes of subsection (1) above a local authority incur a net loss in respect of their provision of accommodation for a person whom they are rehousing—

• (a) if they rehouse him in a house provided by them under Part I of the said Act of 1987, for the purpose of rehousing him; or

• (b) if—

• (i) they rehouse him in a house to which the housing revenue account relates not so provided, and

• (ii) provide under the said Part I in the year immediately preceding that in which he first occupies it, or in the period of three years commencing with the year in which he first occupies it, a house of a similar type or size.

• (3) Where money has been advanced to a person as mentioned in section 36(4) above, then if—

• (a) the authority making the advance (“the lending authority”) are not the same as the displacing authority; and

• (b) the lending authority incur a net loss in respect of the making of the advance,

the displacing authority shall make to the lending authority a lump sum payment by way of indemnity against that loss.

• (4) For the purposes of subsection (3) above, a lending authority incur a net loss in respect of the making of an advance to any person if—

• (a) he does not fully discharge his liability to the authority in respect of principal, interest and expenses in accordance with the terms on which the advance is made; and

• (b) the deficiency exceeds the net proceeds arising to the authority on a sale of the interest on which the principal and interest is secured.

• (5) The Secretary of State may—

• (a) for the purposes of subsection (1) above from time to time determine a method to be used generally in calculating net losses incurred by rehousing authorities;

• (b) for the purposes of that subsection or subsection (3) above, determine the net loss incurred by a rehousing authority or lending authority in any particular case;

• (c) give directions as to the manner in which any payment under this section is to be made.

• (6) Subsection (2) above shall be construed as one with the Housing (Scotland) Act 1987.

Power of relevant authority to defray expenses in connection with acquisition of new dwellings

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• (1) Where a person displaced from a dwelling in consequence of any of the events specified in paragraphs (a) to (c) of section 36(1) above

• (a) has no interest in the dwelling or no greater interest therein than as tenant for a year or from year to year; and

• (b) wishes to acquire another dwelling in substitution for that from which he is displaced,

then, according to the nature of the event in consequence of which he was displaced, the acquiring authority, the authority who made the order, passed the resolution or accepted the undertaking or the authority carrying out the improvement or redevelopment may pay any reasonable expenses incurred by him in connection with the acquisition, other than the purchase price.

• (2) No payment shall be made under this section in respect of expenses incurred by any person in connection with the acquisition of a dwelling unless the dwelling is acquired not later than one year after the displacement and is reasonably comparable with that from which he is displaced.

• (3) For the purposes of subsection (2) above a dwelling acquired pursuant to a contract shall be treated as acquired when the contract is made.

• (4) Subsections (3) and (6) of section 36 above shall have effect in relation to subsection (1) above and to any provision of subsection (1) of that section as applied thereby.

Part IV — Compulsory Purchase

Assessment of compensation

Compensation for injurious affection

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• (1) Where land is acquired or taken from any person for the purpose of works which are to be situated partly on that land and partly elsewhere, compensation for injurious affection of land retained by that person shall be assessed by reference to the whole of the works and not only the part situated on the land acquired or taken from him.

• (2) In this section “compensation for injurious affection” means compensation for injurious affection under section 61 or 114 of the Lands Clauses Consolidation (Scotland) Act 1845, and subsection (1) above shall apply with the necessary modifications to such compensation under the said section 61 as substituted by paragraph 22 of Schedule 3 to the Gas Act 1986(compulsory acquisition of rights over land) or any corresponding enactment extending to Scotland, including (except where otherwise provided) an enactment passed after 23rd May 1973.

Compensation for acquisition of dwelling specially adapted for disabled person

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• (1) This section applies to the assessment of compensation in respect of the compulsory acquisition of an interest in a dwelling which—

• (a) has been constructed or substantially modified to meet the special needs of a disabled person; and

• (b) is occupied by such a person as his residence immediately before the date when the acquiring authority take possession of the dwelling or was last so occupied before that date.

• (2) The compensation shall, if the person whose interest is acquired so elects, be assessed as if the dwelling were land which is devoted to a purpose of such a nature that there is no general demand or market for land for that purpose.

Compensation for disturbance where business carried on by person over sixty

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• (1) Where a person is carrying on a trade or business on any land and, in consequence of the compulsory acquisition of the whole of that land, is required to give up possession thereof to the acquiring authority, then if—

• (a) on the date on which he gives up possession as aforesaid he has attained the age of sixty; and

• (b) on that date the land is or forms part of a hereditament the annual value of which does not exceed the prescribed amount; and

• (c) that person has not disposed of the goodwill of the whole of the trade or business and gives to the acquiring authority the undertakings mentioned in subsection (3) below,

the compensation payable to that person in respect of the compulsory acquisition of his interest in the land or, as the case may be, under section 114 of the Lands Clauses Consolidation (Scotland) Act 1845 (tenants from year to year etc.) shall, so far as attributable to disturbance, be assessed on the assumption that it is not reasonably practicable for that person to carry on the trade or business or, as the case may be, the part thereof the goodwill of which he has retained, elsewhere than on that land.

• (2) In subsection (1) above “the prescribed amount” means the amount which on the date mentioned in that subsection is the amount prescribed for the purposes of section 100(3)(a) of the Town and Country (Scotland) Planning Act 1997 (interests qualifying for protection under planning blight provisions) and “annual value” and “hereditament” have the meanings given in section 122 of that Act taking references to the date of service of a notice under section 101 of that Act as references to the date mentioned in subsection (1) above.

• (3) The undertakings to be given by the person claiming compensation are—

• (a) an undertaking that he will not dispose of the goodwill of the trade or business, or, as the case may be, of the part thereof the goodwill of which he has retained; and

• (b) an undertaking that he will not, within such area and for such time as the acquiring authority may require, directly or indirectly engage in or have any interest in any other trade or business of the same or substantially the same kind as that carried on by him on the land acquired.

• (4) If an undertaking given by a person for the purposes of this section is broken the acquiring authority may recover from him an amount equal to the difference between the compensation paid and the compensation that would have been payable if it had been assessed without regard to the provisions of this section.

• (5) This section shall apply to a trade or business carried on by two or more persons in partnership as if references to the person by whom it is carried on were references to all the partners and as if the undertakings mentioned in subsection (3) above were required to be given by all the partners.

• (6) This section shall apply to a trade or business carried on by a company—

• (a) as if subsection (1)(a) above required—

• (i) each shareholder, other than a minority shareholder, to be an individual who has attained the age of sixty on the date there mentioned; and

• (ii) each minority shareholder to be an individual who either has attained that age on that date or is the spouse of a shareholder who has attained that age on that date; and

• (b) as if the undertakings mentioned in subsection (3)(b) above were required to be given both by the company and by each shareholder.

In this subsection “shareholder” means a person who is beneficially entitled to a share or shares in the company carrying voting rights and “minority shareholder” means a person who is so entitled to less than 50 per cent. of those shares.

• (7) This section shall apply in relation to any disturbance payment assessed in accordance with section 35(1)(b) above as it applies in relation to the compensation mentioned in subsection (1) above, and shall so apply subject to the necessary modifications and as if references to the giving up of possession of land to the acquiring authority in consequence of its compulsory acquisition were references to displacement as mentioned in section 34 above.

Compensation in respect of agricultural holdings

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• (1) This section has effect where in pursuance of any enactment providing for the acquisition or taking of possession of land compulsorily an acquiring authority—

• (a) acquire the interest of the landlord in an agricultural holding or any part of it; or

• (b) acquire the interest of the tenant in, or take possession of, an agricultural holding or any part of it.

• (2) In assessing the compensation payable by the acquiring authority to the landlord in connection with any such acquisition of an interest as is mentioned in subsection (1)(a) above—

• (a) there shall be disregarded any right of the landlord to serve a notice to quit, and any notice to quit already served by the landlord, which would not be or would not have been effective if—

• (i) in section 22(2)(b) of the Agricultural Holdings (Scotland) Act 1991 (land required for non-agricultural use for which planning permission has been granted etc.) the reference to the land being required did not include a reference to its being required by an acquiring authority; and

• (ii) in section 24(1)(e) of that Act (proposed termination of tenancy for purpose of land’s being used for non-agricultural use not falling within section 22(2)(b) the reference to the land’s being used did not include a reference to its being used by an acquiring authority; and

• (aa) there shall be disregarded any right of the landlord to serve a notice of intention to resume land which would not be or have been effective if in section 17(1)(a) of the Agricultural Holdings (Scotland) Act 2003 (asp 11) (resumption of land by landlord) the reference to the resumption being for a non-agricultural purpose did not include a reference to its being required by an acquiring authority; and

• (b) there shall be disregarded any entitlement of the landlord to resume land comprised in the holding by virtue of a stipulation in the lease, and any notice already given in pursuance of such a stipulation which would not be or would not have been effective if the stipulation were construed as not including authority to resume the land for the purpose of its being required by the acquiring authority; and

• (c) if the tenant has quitted the holding or any part of it by reason of a notice to quit which is to be so disregarded, it shall be assumed that he has not done so; and

• (d) if land comprised in the holding has been resumed by reason of such an entitlement or notice which is to be so disregarded that land shall be assumed not to have been so resumed.

• (3) In assessing the compensation payable by the acquiring authority to the tenant in connection with any such acquisition of an interest or taking of possession of land as is mentioned in subsection (1)(b) above (hereafter referred to as “the tenant’s compensation”), there shall be disregarded—

• (a) any right of the landlord to serve a notice to quit, and any notice to quit already served by the landlord, which would not be or would not have been effective if the said sections 22(2)(b) and 24(1)(e) of the Agricultural Holdings (Scotland) Act 1991 or section 17(1)(a) of the Agricultural Holdings (Scotland) Act 2003 were construed in accordance with subsection (2)(a)(i) and (ii) above; and

• (b) any entitlement of the landlord to resume land comprised in the holding by virtue of a stipulation in the lease, and any notice already given in pursuance of such a stipulation which would not be or would not have been effective if the stipulation were construed in accordance with subsection (2)(b) above.

• (4) The tenant’s compensation shall be reduced by an amount equal to any payment which the acquiring authority are liable to make to him, in respect of the acquisition or taking of possession in question, under section 56 of the Agricultural Holdings (Scotland) Act 1991 (additional payments by acquiring authority in circumstances described in subsection (1)(b) above) or, as the case may be, under section 54(1) to (3) of the Agricultural Holdings Act (Scotland) 2003 (compensation where compulsory acquisition of land) .

• (5) If the tenant’s compensation as determined in accordance with subsections (3) and (4) above is less than it would have been if those subsections had not been enacted, it shall be increased by the amount of the deficiency.

• (6) This section shall not apply to an agricultural holding which is a croft or the holding of a landholder or a statutory small tenant.

Compensation in respect of crofts, etc.

45

• (1) This section has effect where in pursuance of any enactment providing for the acquisition or taking of possession of land compulsorily an acquiring authority—

• (a) acquire the interest of the landlord in an agricultural holding which is a croft; or

• (b) take possession of a croft.

• (2) In assessing the compensation payable by the acquiring authority to the landlord of a croft in connection with any such acquisition of an interest as is mentioned in subsection (1)(a) above—

• (a) there shall be disregarded any right of the landlord to apply to the Scottish Land Court under section 12 of the Crofters (Scotland) Act 1955 for authority to resume the croft and any such authority already granted which would not be or would not have been effective if in that section the reference to resuming the croft did not include a reference to its being resumed for the purpose of its being required by the acquiring authority; and

• (b) if the crofter has surrendered his croft under the said section 12 by reason of an authority which is to be so disregarded it shall be assumed that he has not done so.

• (3) In assessing the compensation payable by the acquiring authority to the crofter in connection with any such taking of possession of a croft as is mentioned in subsection (1)(b) above, there shall be disregarded any right of the landlord to apply to the Scottish Land Court under the said section 12 for authority to resume the croft or any such authority already granted which would not be or would not have been effective if the said section 12 were construed in accordance with subsection (2)(a) above.

• (4) If the compensation payable to the crofter as determined in accordance with subsection (3) above is less than it would have been if that subsection had not been enacted, it shall be increased by the amount of the deficiency.

• (5) This section shall apply to part of a croft as it applies to an entire croft.

• (6) This section shall apply to the holding or part of the holding of a landholder as it applies to a croft or part of a croft except that for any reference to a croft, crofter or section 12 of the Crofters (Scotland) Act 1955 there shall be substituted respectively a reference to a holding, landholder or section 2 of the Crofters Holdings (Scotland) Act 1886.

• (7) This section shall apply to the holding or part of the holding of a statutory small tenant as it applies to a croft or part of a croft except that—

• (a) for any reference to a croft, crofter or section 12 of the Crofters (Scotland) Act 1955 there shall be substituted respectively a reference to a holding, statutory small tenant or section 32(15) of the Small Landholders (Scotland) Act 1911;

• (b) in subsection (2)(b), for the words “crofter has surrendered his croft under the said section 12” there shall be substituted the words “landlord has resumed the holding under the said section 32(15)”;

• (c) after subsection (3) there shall be inserted the following subsection—

(3A) The compensation payable to the statutory small tenant shall be reduced by an amount equal to any payment which the acquiring authority are liable to make to him, in respect of the taking of possession in question, under section 12 of the Agriculture (Miscellaneous Provisions) Act 1968 (additional payments by acquiring authority in circumstances described in subsection (1)(b) above).

;

• (d) in subsection (4), for the words “subsection (3)” there shall be substituted the words “subsections (3) and (3A)”.

Compensation where occupier is rehoused

46

• (1) The amount of compensation payable in respect of the compulsory acquisition of an interest in land shall not be subject to any reduction on account of the fact that the acquiring authority have provided, or undertaken to provide or arrange for the provision of, or another authority will provide, residential accommodation under any enactment for the person entitled to the compensation.

• (2) In assessing the compensation payable in respect of the compulsory acquisition of an interest in land which on the date of service of the notice to treat is subject to a tenancy, there shall be left out of account any part of the value of that interest which is attributable to, or to the prospect of, the tenant giving up possession after that date in consequence of being provided with other accommodation by virtue of section 36(1)(a) above; and for the purpose of determining the date by reference to which that compensation is to be assessed the acquiring authority shall be deemed, where the tenant gives up possession as aforesaid, to have taken possession on the date on which it is given up by the tenant.

• (3) Subsection (1) above shall apply in relation to any payment to which a person is entitled under Part III of this Act as it applies in relation to the compensation mentioned in that subsection taking references to the acquiring authority as references to the authority responsible for making that payment.

• (4) Subsection (2) above shall apply in relation to a case where a notice to treat is deemed to have been served by virtue of Schedule 15 to the Town and Country Planning (Scotland) Act 1997 (general vesting declarations) as it applies in relation to a case where a notice to treat is actually served.

Compensation where land is in area designated as site of new town for purpose of public development

47

• (1) Where the Secretary of State proposes to make an order under section 1 of the New Towns (Scotland) Act 1968 designating any area as—

• (a) the site of new town; or

• (b) an extension of the site of a new town,

and the purpose or main purpose, or one of the main purposes, for which the order is proposed to be made is the provision of housing or other facilities required in connection with or in consequence of the carrying out of any public development, he may, before making the order, give a direction specifying that development for the purposes of this section in relation to that area.

• (2) Where the area mentioned in paragraph 3 or 3A in the first column of Schedule 1 to the Land Compensation (Scotland) Act 1963 (cases where land acquired forms part of site of new town or extension of site of new town) is an area to which a direction under this section relates, then, in the circumstances described in that paragraph—

• (a) the increase or diminution in value to be left out of account by virtue of section 13 of that Act (compensation to be assessed without regard to development attributable to designation of new town) or any rule of law relating to the assessment of compensation in respect of compulsory acquisition; and

• (b) the increase in value to be taken into account by virtue of section 14 of that Act (reduction of compensation where other land benefited by such development),

shall respectively include any increase or diminution in value, and any increase in value, which is attributable to the carrying out or the prospect of the public development specified in the direction.

• (3) No direction shall be given under this section in relation to any area until the Secretary of State has prepared a draft of the order under section 1 of the said Act of 1968 in respect of that area and has published the notice required by paragraph 2 of Schedule 1 to that Act.

• (4) Any direction under this section shall be given by order; and any order containing such a direction may be varied or revoked by a subsequent order.

• (5) The power to make orders under this section shall be exercisable by statutory instrument subject to annulment in pursuance of a resolution of either House of Parliament.

• (6) In this section “public development” means development (whether or not in the area designated under section 1 of the said Act of 1968) in the exercise of statutory powers by—

• (a) a government department;

• (b) any statutory undertakers within the meaning of the Town and Country Planning (Scotland) Act 1997 or any body deemed by virtue of any enactment to be statutory undertakers for the purposes of, or of any provision of, that Act; or

• (c) without prejudice to paragraph (b) above, any body having power to borrow money with the consent of a Minister,

and includes such development which has already been carried out when the direction in respect of it is given as well as such development which is then proposed.

Advance payment of compensation

Right to advance payment of compensation

48

• (1) Where an acquiring authority have taken possession of any land the authority shall, if a request in that behalf is made in accordance with subsection (2) below, make an advance payment on account of any compensation payable by them for the compulsory acquisition of any interest in that land.

• (2) Any request under this section shall be made by the person entitled to the compensation (hereafter referred to as “the claimant”), shall be in writing, shall give particulars of the claimant’s interest in the land (so far as not already given pursuant to a notice to treat) and shall be accompanied or supplemented by such other particulars as the acquiring authority may reasonably require to enable them to estimate the amount of the compensation in respect of which the advance payment is to be made.

• (3) Subject to subsection (6) below, the amount of any advance payment under this section shall be equal to 90 per cent. of the following amount, that is to say—

• (a) if the acquiring authority and the claimant have agreed on the amount of the compensation, the agreed amount;

• (b) in any other case, an amount equal to the compensation as estimated by the acquiring authority.

• (4) Any advance payment under this section shall be made not later than three months after the date on which a request for the payment is made in accordance with subsection (2) above or, if those three months end before the date on which the acquiring authority take possession of the land to which the compensation relates, on the date on which they take possession as aforesaid.

• (4A) Where, at any time after an advance payment has been made on the basis of the acquiring authority’s estimate of the compensation, it appears to the acquiring authority that their estimate was too low, they shall, if a request in that behalf is made in accordance with subsection (2) above, pay to the claimant the balance of the amount of the advance payment calculated as at that time.

• (5) Where the amount, or aggregate amount, of any payment under this section made on the basis of the acquiring authority’s estimate of the compensation exceeds the compensation as finally determined or agreed, the excess shall be repaid; and if after any payment under this section has been made to any person it is discovered that he was not entitled to it, the amount of the payment shall be recoverable by the acquiring authority

• (6) No advance payment shall be made on account of compensation payable in respect of any land which is subject to a heritable security the principal of which exceeds 90 per cent. of the amount mentioned in subsection (3) above; and where the land is subject to a heritable security the principal of which does not exceed 90 per cent. of that amount, the advance payment shall be reduced by such sum as the acquiring authority consider will be required by them for securing the release of the interest of the heritable creditor.

• (7) Where an acquiring authority make an advance payment under this section on account of compensation in respect of any interest in land, the authority shall cause notice of that fact, specifying particulars of the payment, the compensation and the interest in land to which it relates, to be recorded in the Register of Sasines and shall send a copy of the notice to the local planning authority.

• (8) Where after particulars of the advance payment made to any claimant have been recorded as aforesaid the claimant disposes of the interest in the land to, or creates an interest in the land in favour of, a person other than the acquiring authority, the amount of the advance payment together with any amount paid under section 48A shall be set off against any sum payable by the authority to that other person in respect of the compulsory acquisition of the interest disposed of or the compulsory acquisition or release of the interest created.

• (9) Where an advance payment has been made under this section on account of any compensation—

• (a) section 75 of the Lands Clauses Consolidation (Scotland) Act 1845 (refusal of owner to convey on tender of compensation) shall have effect as if references to the compensation were references to the balance thereof remaining unpaid; . . .

• (b) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (10) This section shall apply to compensation for the compulsory acquisition of a right in or over land as it applies to compensation for the compulsory acquisition of an interest in land, and shall so apply with the necessary modifications and as if references to taking possession of the land were references to first entering it for the purpose of exercising the right.

Severance of land

Notice to treat in respect of part of agricultural land

49

• (1) Where an acquiring authority serve notice to treat in respect of any agricultural land on a person (whether in occupation or not) having a greater interest in the land than as tenant for a year or from year to year, and that person has such an interest in other agricultural land comprised in the same agricultural unit as that to which the notice relates, the person on whom the notice is served (hereafter referred to as “the claimant”) may within the period of two months beginning with the date of service of the notice to treat, serve on the acquiring authority a counter-notice—

• (a) claiming that the other land is not reasonably capable of being farmed, either by itself or in conjunction with other relevant land, as a separate agricultural unit; and

• (b) requiring the acquiring authority to purchase his interest in the whole of the other land.

• (2) Where a counter-notice is served under subsection (1) above the claimant shall also, within the period mentioned in that subsection, serve a copy thereof on any other person who has an interest in the land to which the requirement in the counter-notice relates, but failure to comply with this subsection shall not invalidate the counter-notice.

• (3) Subject to subsection (4) below, “other relevant land” in subsection (1) above means—

• (a) land comprised in the same agricultural unit as the land to which the notice to treat relates, being land in which the claimant does not have such an interest as is mentioned in that subsection; and

• (b) land comprised in any other agricultural unit occupied by him on the date of service of the notice to treat, being land in respect of which he is then entitled to a greater interest than as tenant for a year or from year to year.

• (4) Where an acquiring authority have served a notice to treat in respect of any of the other agricultural land mentioned in subsection (1) above or in respect of other relevant land as defined in subsection (3) above or such a notice is deemed to have been served by virtue of sections 88 to 95 of the Town and Country Planning (Scotland) Act 1997, then, unless and until that notice to treat is withdrawn, this section and section 50 below shall have effect as if that land did not form part of that other agricultural land or did not constitute other relevant land, as the case may be.

• (5) This section shall have effect in relation to a case where a notice to treat is deemed to have been served by virtue of any of the provisions of . . . Schedule 15 to the Town and Country Planning (Scotland) Act 1997 (general vesting declarations) as it has effect in relation to a case where a notice to treat is actually served, and section 50 below shall have effect accordingly.

• (6) This section is without prejudice to the rights conferred by sections 91 and 92 of the Lands Clauses Consolidation (Scotland) Act 1845 (provisions as to divided land).

Effect of counter-notice under section 49

50

• (1) If the acquiring authority do not within the period of two months beginning with the date of service of a counter-notice under section 49 above agree in writing to accept the counter-notice as valid, the claimant or the authority may, within two months after the end of that period, refer it to the Lands Tribunal; and on any such reference the Tribunal shall determine whether the claim in the counter-notice is justified and declare the counter-notice valid or invalid in accordance with its determination of that question.

• (2) Where a counter-notice is accepted as, or declared to be, valid under subsection (1) above the acquiring authority shall be deemed—

• (a) to be authorised to acquire compulsorily, under the enactment by virtue of which they are empowered to acquire the land in respect of which the notice to treat was served, the claimant’s interest in the land to which the requirement in the counter-notice relates; and

• (b) to have served a notice to treat in respect of that land on the date on which the first-mentioned notice to treat was served.

• (3) A claimant may withdraw a counter-notice at any time before the compensation payable in respect of a compulsory acquisition in pursuance of the counter-notice has been determined by the Lands Tribunal or at any time before the end of six weeks beginning with the date on which the compensation is so determined; and where a counter-notice is withdrawn by virtue of this subsection any notice to treat deemed to have been served in consequence thereof shall be deemed to have been withdrawn.

• (4) Without prejudice to subsection (3) above, the power conferred by section 39 of the Land Compensation (Scotland) Act 1963 to withdraw a notice to treat shall not be exercisable in the case of a notice to treat which is deemed to have been served by virtue of this section.

• (5) The compensation payable in respect of the acquisition of an interest in land in pursuance of a notice to treat deemed to have been served by virtue of this section shall be assessed on the assumptions mentioned in section 5(2), (3) and (4) above.

• (6) Where by virtue of this section the acquiring authority become, or will become, entitled to a lease of any land but not to the interest of the lessor—

• (a) the authority shall offer to renounce the lease to the lessor on such terms as the authority consider reasonable;

• (b) the question of what terms are reasonable may be referred to the Lands Tribunal by the authority or the lessor and, if at the expiration of three months after the date of the offer mentioned in paragraph (a) above, the authority and the lessor have not agreed on that question and that question has not been referred to the Tribunal by the lessor, it shall be so referred by the authority;

• (c) if that question is referred to the Tribunal the lessor shall be deemed to have accepted the renunciation of the lease at the expiration of one month after the date of the determination of the Tribunal or on such other date as the Tribunal may direct and to have agreed with the authority on the terms of renunciation which the Tribunal has held to be reasonable.

For the purposes of this subsection any terms as to renunciation contained in the lease shall be disregarded.

• (7) Where the lessor refuses to accept any sum payable to him by virtue of subsection (6) above, or refuses or fails to make out his title to the satisfaction of the acquiring authority, they may pay into the Bank within the meaning of section 3 of the Lands Clauses Consolidation (Scotland) Act 1845 any sum payable to the lessor by virtue of that subsection; and the following provisions of the said Act of 1845 shall apply to that sum with the necessary modifications—

• (a) section 75 so far as it relates to the opening of an account,

• (b) section 76 so far as it relates to the giving of a receipt,

• (c) section 77,

• (d) section 79.

• (8) Where an acquiring authority who become entitled to the lease of any land as mentioned in subsection (6) above are a body incorporated by or under any enactment the corporate powers of the authority shall, if they would not otherwise do so, include power to farm that land.

Notice of entry in respect of part of agricultural holding

51

• (1) Where an acquiring authority serve notice of entry under paragraph 3 of Schedule 2 to the Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 or paragraph 15 of Schedule 15 to the Town and Country Planning (Scotland) Act 1997 on the person in occupation of an agricultural holding, being a person having no greater interest therein than as tenant for a year or from year to year, and the notice relates to part only of that holding, the person on whom the notice is served (hereafter referred to as “the claimant”) may, within the period of two months beginning with the date of service of the notice of entry, serve on the the acquiring authority a counter-notice—

• (a) claiming that the remainder of the holding is not reasonably capable of being farmed, either by itself or in conjunction with other relevant land, as a separate agricultural unit; and

• (b) electing to treat the notice of entry as a notice relating to the entire holding.

• (2) Where a counter-notice is served under subsection (1) above the claimant shall also, within the period mentioned in that subsection, serve a copy thereof on the landlord of the holding, but failure to comply with this subsection shall not invalidate the counter-notice.

• (3) Subject to subsection (4) below, “other relevant land” in subsection (1) above means—

• (a) land comprised in the same agricultural unit as the agricultural holding; and

• (b) land comprised in any other agricultural unit occupied by the claimant on the date of service of the notice of entry, being land in respect of which he is then entitled to a greater interest than as tenant for a year or from year to year.

• (4) Where an acquiring authority have served a notice to treat in respect of land in the agricultural holding other than that to which the notice of entry relates or in respect of other relevant land as defined in subsection (3) above, then, unless and until that notice to treat is withdrawn, this section and section 52 below shall have effect as if that land did not form part of the holding or did not constitute other relevant land, as the case may be.

Effect of counter-notice under section 51

52

• (1) If the acquiring authority do not within the period of two months beginning with the date of service of a counter-notice under section 51 above agree in writing to accept the counter-notice as valid, the claimant or the authority may, within two months after the end of that period, refer it to the Lands Tribunal; and on any such reference the Tribunal shall determine whether the claim in the counter-notice is justified and declare the counter-notice valid or invalid in accordance with its determination of that question.

• (2) Where a counter-notice is accepted as, or declared to be, valid under subsection (1) above then, if before the end of twelve months after it has been so accepted or declared the claimant has given up possession of every part of the agricultural holding to the acquiring authority—

• (a) the notice of entry shall be deemed to have extended to the part of the holding to which it did not relate; and

• (b) the acquiring authority shall be deemed to have taken possession of that part in pursuance of that notice on the day before the expiration of the year of the tenancy which is current when the counter-notice is so accepted or declared.

• (3) Where the claimant gives up possession of an agricultural holding to the acquiring authority as aforesaid but the authority have not been authorised to acquire the landlord’s interest in, or in any of, the part of the holding to which the notice of entry did not relate (“the land not subject to compulsory purchase”)—

• (a) neither the claimant nor the authority shall be under any liability to the landlord by reason of the claimant giving up possession of the land not subject to compulsory purchase or the authority taking or being in possession of it;

• (b) immediately after the date on which the authority take possession of the land not subject to compulsory purchase they shall give up to the landord, and he shall take, possession of that land;

• (c) the tenancy shall be treated as terminated on the date on which the claimant gives up possession of the holding to the acquiring authority or (if he gives up possession of different parts at different times) gives up possession as aforesaid of the last part, but without prejudice to any rights or liabilities of the landlord or the claimant which have accrued before that date;

• (d) any rights of the claimant against, or liabilities of the claimant to, the landlord which arise on or out of the termination of the tenancy by virtue of paragraph (c) above (whether under the lease, the Agricultural Holdings (Scotland) Act 1991 , the Agricultural Holdings (Scotland) Act 2003 , the Crofters (Scotland) Acts 1955 and 1961, the Small Landholders (Scotland) Acts 1886 to 1931 or otherwise) shall be rights and liabilities of the authority, and any question as to the payment to be made in respect of any such right or liability shall be referred to and determined by the Lands Tribunal;

• (e) any increase in the value of the land not subject to compulsory purchase which is attributable to the landlord’s taking possession of it under paragraph (b) above shall be deducted from the compensation payable in respect of the acquisition of his interest in the remainder of the holding.

• (4) Where a tenancy is terminated by virtue of subsection (3)(c) above, section 47(1) of the Agricultural Holdings (Scotland) Act 1991 (landlord’s right to compensation for deterioration of holding) shall have effect as if the said section 47(1) required the landlord’s notice of intention to claim compensation to be served on the acquiring authority and to be so served within three months after the termination of the tenancy.

Other procedures for taking possession of part of agricultural holding

53

• (1) Before taking possession of part only of an agricultural holding under section 84 or 114 of the Lands Clauses Consolidation (Scotland) Act 1845 (alternative procedures for taking possession of land) the acquiring authority shall serve notice of their intention to do so on the person in occupation of the holding, and sections 51 and 52 above shall have effect, subject to any necessary modifications, as if possession were being obtained pursuant to a notice of entry under paragraph 3 of Schedule 2 to the Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947.

• (2) Sections 51 and 52 above shall have effect, subject to any necessary modifications, in relation to a notice of entry under paragraph 4 of Schedule 6 to the New Towns (Scotland) Act 1968 (provisions applicable to compulsory acquisitions under that Act) as they have effect in relation to a notice of entry under paragraph 3 of Schedule 2 to the Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947.

• (3) Sections 51 and 52(1) and (2) above shall have effect, subject to any necessary modifications, in relation to a notice under section II of the Housing (Scotland) Act 1987 (dispossession of tenant where local authority have agreed to purchase or have appropriated land for purposes of Part I of that Act) as they have effect in relation to a notice of entry under paragraph 3 of Schedule 2 to the said Act of 1947.

Determination of material detriment where part of house etc. proposed for compulsory acquisition

54

• (1) In determining under paragraph 4 of Schedule 2 to the Acquisition of Land (Authorisation Procedure) (Scotland) Act 1947 or section 117(2) of, or paragraph 26 of Schedule 15 to the Town and Country Planning (Scotland) Act 1997 whether—

• (a) part of a house, building or manufactory can be taken without material detriment or damage to the house, building or manufactory; or

• (b) part of a park or garden belonging to a house can be taken without seriously affecting the amenity or convenience of the house,

the Lands Tribunal shall take into account not only the effect of the severance but also the use to be made of the part proposed to be acquired and, in a case where the part is proposed to be acquired for works or other purposes extending to other land, the effect of the whole of the works and the use to be made of the other land.

• (2) Subsection (1) above shall apply with the necessary modifications to any determination—

• (a) under the said paragraph 4 as substituted by paragraph 22 of Schedule 3 to the Gas Act 1986 (compulsory acquisition of rights over land); or

• (b) under any provision corresponding to or substituted for the said paragraph 4 which is contained in, or in an instrument made under, any other enactment including (except where otherwise provided) an enactment passed after 23rd May 1973.

Miscellaneous

Notice to quit agricultural holding: right to opt for notice of entry compensation

55

• (1) This section has effect where the person in occupation of an agricultural holding, being a person having no greater interest therein than as tenant for a year or from year to year, is served with a notice to quit the holding or (as the case may be) notice of intention to resume land, and—

• (a) the notice is served after an acquiring authority have served notice to treat on the landlord of the holding or, being an authority possessing compulsory purchase powers, have agreed to acquire his interest in the holding; and

• (b) either—

• (i) section 22(1) of the Agricultural Holdings (Scotland) Act 1991 does not apply by virtue of subsection (2)(b) of that section; or

• (ii) the Scottish Land Court have consented to the notice on the ground set out in section 24(1)(e) of that Act, or the resumption is for a non-agricultural purpose under section 17(1)(a) of the Agricultural Holdings (Scotland) Act 2003.

• (2) If the person served with the notice to quit or (as the case may be) notice of intention to resume land elects that this subsection shall apply to the notice and gives up possession of the holding to the acquiring authority on or before the date on which his tenancy terminates in accordance with the notice—