Farm leases, often based on trust and a handshake, have been a time-honored tradition. But without a written agreement, misunderstandings can arise. Let's dive into the world of verbal farm leases and how to navigate potential issues.
Verbal Lease Termination Timing
In regions like Nebraska, the law kicks off the lease year on March 1. If a landlord wants to end a lease, they need to notify the tenant six months ahead, by September 1. So, if the lease year starts on March 1, 2024, and concludes on Feb. 28, 2025, the termination notice should reach the tenant by Sept. 1, 2023. Late notices can extend leases an extra year.
The best way to notify a tenant? Registered Mail™. Why? It has proof of receipt. If disputes arise, the landlord has evidence that the tenant received the notice.
Pasture Leases - A Different Scenario
Pasture leases stand out. Typically, they cover a five-month grazing season. At the season's end, the lease concludes unless a written agreement states otherwise.
Clear Communication: The Key to Success
Whatever the lease type, clarity is paramount. It's always a good idea to send a termination notice before September 1. This ensures both parties are on the same page, avoiding potential hiccups.
Why Written Leases?
Written leases are clearer and more concrete than verbal agreements. For those interested in drafting one, aglease101.org offers samples to get started. But always remember, while these resources are helpful, they don't replace personalized legal advice.
Always prioritize communication, be clear in intentions, and when in doubt, consult a legal expert.
Photo Credit: gettyimages-ianchrisgraham
Categories: Nebraska, General