406. Creation and nature of an agricultural charge.

A farmer1 may, notwithstanding any provision in his contract of tenancy to the contrary2, by instrument in writing3 create in favour of a bank4 an agricultural charge on all or any of his farming stock5 and other agricultural assets6 as security for sums on short term credit advanced to him or paid on his behalf under any guarantee by the bank, and interest, commission, and charges thereon7.

An agricultural charge may be either a fixed charge or a floating charge, or both

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