A tenant farmer’s tenancy was surrendered in consequence of a notice to quit served by the landlord. The landlord paid to the tenant £591 by way of compensation for disturbance under s 34(1) of the Agricultural Holdings Act 1948.
The Crown contended that the £591 was a capital sum derived from an asset, viz the lease.
Compensation for disturbance paid under s34 was not 'derived' from an asset, but was simply a sum which, by statute, had to be paid for expense and loss unavoidably incurred once the tenancy had been terminated.
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