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— —— Part VII.

Part VII. Sect.

— Bankruptcy of Tenant.

— Bankruptcy

275

of Tenantw-

Tenancy carried on hy Trustee,

1.

Sect.

597. Where the trustee in bankruptcy of a yearly tenant of a farm carries on the farm for the benefit of the creditors, and at the determination of the tenancy claims from the landlord the value of the tillages etc. under the terms of the contract of tenancy or the custom of the country, the landlord cannot set off against such value rent which was due from the tenant before the bankruptcy {a). If, however, a custom of the country be proved for the landlord to deduct from the tenant's valuation all arrears of rent, such custom will prevail notwithstanding the bankruptcy of the tenant (6). 598. The trustee of any bankrupt, or any assignee under any bill any purchaser of the goods, stock or crop of any person engaged in husbandry on any lands let to farm, may not take, use or dispose of any hay, straw, grass or roots, or any other produce of such lands, or any manure etc. thereon, in any other manner and for any other purpose than such bankrupt or other person engaged in husbandry ought to have done if no such bankruptcy had occurred or no such assignment or sale had been made (c). This provision applies to a trustee in bankruptcy notwithstanding disclaimer by him of the lease (d) but does not extend to a purchaser from the landlord of goods distrained by him {e).

1.

Tenancy carried on by Trustee. Rent accrued before bankruptcy.

Disposal of

of sale, or

Sect.

599. Where there

2.

Forfeiture hy Bankruptcy.

an absolute covenant by a tenant for a term remove the hay and straw, but to consume the same on the farm, and also to leave on the farm all fodder grown in the last year of the term and unconsumed, on being paid for the same by valuation, then if the lease is forfeited on the bankruptcy of the tenant for condition broken, and the landlord re-enters, the landlord is not bound by the stipulations to pay for the unconsumed hay and straw (/). is

of years not to sell or

Sect.

3.

Disclaimer,,

600. If a trustee in bankruptcy of a tenant sell hay etc. off the farm without returning manure as required by the custom of the country or by the terms of the lease, and then disclaim the lease, he becomes personally liable to the landlord for his wrongful act {g) .

Bankruptcy and Insolvency,

{t)

See generally,

(a)

Alloiuay v. Steere (1882), 10 Q. B. D. 22. Re Wilson, Ex parte Lord Hastings (1893), 62 L. J. Sale of Farming Stock Act, 1816 (56 Geo. 3, c. 50),

{h) (c)

title

Covenant to consume hay and straw.

post.

(q. b.) s.

628.

11.

Lybbe v. Hart (1885), 29 Ch. D. 8. Haiuhins v. Walrond (1876), 1 C. P. D. 280. but see Re Morrish, Ex parte (/) Silcock V. Farmer (1882), 46 L. T. 404 Hart-Byke (1882), 22 Ch. D. 410. For form of disclaimer, see Schofield V. Hincks (1888), 60 L. T. 573. ((/) Encyclopaedia of Forms, Vol. YII., pp. 707, 708, 711. {d) (e)

T 2

Trustee

hay

seii-

etc.

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