Agistment Agreement Nsw

If you are looking to lease land for grazing purposes in New South Wales, you may come across the term “agistment agreement.” Agistment agreements are legally binding contracts between a landowner (the agistor) and a grazier who wishes to use the land for livestock grazing purposes. In this article, we will delve into the details of agistment agreements in NSW and what you need to know before signing one.

What is an Agistment Agreement?

An agistment agreement is a contract between a landowner and a grazier for grazing livestock on the land for a specified period of time. The agreement outlines the terms and conditions of the agreement, including the payment, the duration of the agreement, and the responsibilities of each party.

In NSW, agistment agreements are regulated by the Agricultural Tenancies Act 1990. The Act outlines the rules governing these agreements, including requirements for written agreements, notice requirements, and dispute resolution procedures.

What Are the Key Terms of an Agistment Agreement?

Before entering into an agistment agreement, it is crucial to understand the key terms and requirements. Some of the essential terms to consider include:

1. Payment and Costs: The grazier must pay the agistor a fee for grazing livestock on the land. The payment amount typically depends on the size of the land, the number of livestock, and the duration of the agreement. In addition to the fee, the grazier may also be responsible for additional costs, such as water and electricity usage.

2. Duration: The agistment agreement should specify the duration of the agreement. The duration may vary depending on the needs of both parties, but it typically ranges from six months to one year.

3. Insurance: The grazier may be required to obtain public liability insurance to protect against any damages or injuries caused by their livestock. The agistor may also require that the livestock be insured against illness or injury.

4. Responsibilities: The agreement should outline the responsibilities of each party. The grazier is responsible for providing adequate food, water, and care for the livestock, while the agistor is responsible for maintaining the land in good condition.

5. Termination: The agreement should specify the circumstances under which the agreement may be terminated, such as non-payment of fees or breach of contract. The notice period for termination should also be outlined in the agreement.

Conclusion

In NSW, agistment agreements are a common practice for leasing land for grazing livestock purposes. Before signing an agistment agreement, it is essential to understand the key terms and requirements of the contract. Work with a trusted legal advisor to help you navigate through the agreement and ensure that all terms are fair and equitable to both parties.