Cases - Faulks v Faulks

Record details

Name
Faulks v Faulks
Date
[1992]
Citation
1 EGLR 9
Legislation
Keywords
Partnership
Summary

This was a dispute arising upon the dissolution of a farming partnership carried on by two brothers. Together, the brothers farmed an agricultural holding pursuant to a tenancy granted to one brother alone. The partnership deed provided that the brother who was tenant stood possessed of the tenancy in trust for the partnership. The issue that arose was whether the milk quota was an asset of the partnership upon its dissolution.

In this case, it was held that milk quota is attached to the land. Although the quota has an intrinsic economic value, that does not lead to the conclusion that the quota is an asset separate and distinct from the holding in relation to which it is registered. Accordingly, the milk quota formerly registered in the name of the partnership, prior to its dissolution, could not properly be regarded as property and as an asset of the partnership.