AEOS problem

Nekarsulm

Hi all, I have a neighbour who has about 50 acres in AEOS this last 4 1/2 years.
This area includes 8 acres belonging to a relative of his.
His plan runs until December 2015.
Due to illness (Alzheimer's), the owner of the 8 acres has had to sell the 8 acres and small dwelling house, and move to sheltered housing.
The land is recently sold, and the new owner intends to apply for a herd number, etc. before 15nt May.

My neighbour has been informed that the situation now means that he will have to repay all the AEOS monies received since his plan started.

Is he correct? or is there any mechanism whereby the unexpected circumstances can be taken into account?

There was no lease in place between the neighbour and his relative.

Kovu

Something similar happened recently to a farmer round here. I'll see what info I can get & PM you later on.

Comic Book Guy

What actions did he have selected on the 8 acres?

I'm sure he could make a good case under Force Majeur.

merryberry

Comic Book Guy wrote: »

What actions did he have selected on the 8 acres?

I'm sure he could make a good case under Force Majeur.

Sounds like a breach of contract. Yes maybe force majoure could apply here. Check AEOS T&C's.

Yes what were the AEOS options on the 8 acres. Perhaps the new owner would undertake the options/ carry out the options for the remainder of the plan. But then they are waiting on a herd number and not a registered entity with DAFM. Claim Force Majoure...if the new owner was willing to undertake the options on the plan, surely he or she/ or the owner/ neighbour could not be at fault because of the herd number application backlog. Heard of lads applying for new herd numbers back in February and being told that they won't receive number till June/ July!!! LOF...How DAFM didnt see this backlog coming is beyond me.

Just one question to OP. Why was there no lease between neighbour and owner of 8 ac's? Could be construed that neighbour was claiming AEOS money on land not owned by him/ her and this only came to light after owner of 8 aces had to sell land...

Nekarsulm

No lease after year 1, simply because the two parties are closely related, and all the land was being farmed under the one herd number for at least 10 years.

Don't know what options were on the 8 acres.

merryberry

Nekarsulm wrote: »

No lease after year 1, simply because the two parties are closely related, and all the land was being farmed under the one herd number for at least 10 years.

Don't know what options were on the 8 acres.

OP I think this is the reason for DAFM looking for repayment. Below is an extract taken from AEOS1 T&C's.

[10. Reduction of undertaking
10.1. Where all or part of an undertaking is not continued for a minimum period of
five years, all or part of the aid paid in respect of the undertaking shall be
repaid.

OP below are the exceptions to the above and circumstances for force majeure, again taken from AEOS1 T&C's

[18. Force Majeure
18.1. Where a beneficiary is unable to continue complying with the commitments
given for reasons beyond his/her control, a case may be made under force
majeure to terminate the plan. In such cases the participant or his or her
representative should inform the Department of Agriculture, Fisheries and
Food in writing with relevant evidence, within ten working days of being able
to do so.

Nekarsulm

Thanks Mayberry. Hopefully he will be penalised only on the 8 acres, rather than the entire.
Let's hope his planner can make a strong case, and a degree of common sense can prevail.

merryberry

Nekarsulm wrote: »

Thanks Mayberry. Hopefully he will be penalised only on the 8 acres, rather than the entire.
Let's hope his planner can make a strong case, and a degree of common sense can prevail.

Leave DAFM in no doubt that what happened to the the remainder of the AEOS contract was genuinely beyond your neighbours control. Hope it works out for him.