Rental Agreement Best Practices

02:32PM Nov 26, 2019
Agreement
Aim to improve the details of your farmland rental contract.
( iStock.com )

Aim to improve the details of your farmland rental contract. A comprehensive agreement can demonstrate to your landlords you are committed to sustainable farming practices, says Corbett Kull, co-founder and CEO of Tillable, a farmland rental management platform. Plus, they help protect both the landlord and the tenant. “Put your expectations for the land’s performance in ink and create a record of your agreements to strengthen everyone’s understanding of the land’s health,” Kull says. 

Terms and Conditions

Be sure to specifically describe the farmer and landowner relationship. As the tenant, do you maintain just the tillable acres or also the waterways and/or alleys? Make sure these expectations are captured in the agreement. Include the length of the rental arrangement and the process for renewing or terminating it.

Data Delivery Requirements

Include the expectations for sharing information on yields and fertilization. This helps keep everyone informed about the land’s health.

Commitment to Sustainable Farming Practices

“Sustainable farming practices aren’t just another trending phrase; your farmland rental agreement is that document where you get to outline your shared expectations for soil health and tillage practices,” Kull says.

Soil Health

Spell out the expectations for tillage practices and soil management (especially if a farm is no-till). This ties into the data delivery. Plan to share receipts for fertilizer and other costs related to soil health.

Proof of Insurance

Include insurance requirements for both the tenant (ex: crop insurance) and the owner (ex: general liability insurance).

Communication Protocols

Detail both parties’ preferred method of communication so everyone stays informed.