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Prior Tenant/New Tenant
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rank
Posted 1/14/2019 07:33 (#7244080 - in reply to #7244027)
Subject: RE: Prior Tenant/New Tenant


SEON
Nutiller - 1/14/2019 07:09

Prior tenant applied fertilizer to deceased landlords farm for following crop year. Heirs offered land to new tenant for lease/purchase. Heirs specifically asked by new tenant was the farm locked in for that crop year. They said no. Premium lease with cash up front offer to cover finance time lag for requested quick sale and any "extraneous" liabilities on transaction. Finance fell thru. Farm returned to heirs after 2018 harvest. prior tenant to buy. Heirs now claiming New tenant owes fertilizer bill to prior tenant.

Who's liability??

BTW if fertilizer was a double potash application for beans it did not make a difference in yield.


That's a good one. The devil is in the details but on the face of it, I say the estate owes the prior tenant a portion of the cost.

IMO, this is similar to a tenant that makes a leasehold improvement to a building......say a tenant installed new 10 yr shingles in 2017 then got evicted for 2018 only. If I was the 2017 tenant, I would be looking for 1/10th of the cost of those shingles. The 2018 tenant wouldn't pay me....the landlord's estate would pay me. Using the above logic (and if for arguments sake 50% of the potash was available to the 2018 crop) I say the estate owes the 2017 tenant 50% of the fertilizer bill.

If I was the 2018 tenant I would take the above position and make them take me to court before I paid a cent.

**I am assuming:
- the prior tenant applied potash before his landlord's death.
-I am assuming the applied potash was not all taken up by the 2018 crop that is why the estate only owes a portion.


Edited by rank 1/14/2019 07:38
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