Closer Settlement Act 1957

A lessee of a holding under a settlement lease may, at any time during the term of the lease, purchase that holding in accordance with this section.

A right of purchase under this section is not exercisable by a person who – is not an eligible person; or has not complied in every respect with the requirements of this Act and his lease up to the time when he gives notice under subsection (4) and paid to TDR all moneys due and payable by him up to that time in respect of all matters relating to the holding.

A person who wishes to exercise a right of purchase under this section shall give notice in the prescribed form to TDR.

On receipt of a notice under subsection (4), TDR is bound, except as provided in subsections (6) and (12), to sell and transfer the holding to the lessee on a day that it shall fix by notice in writing to the lessee, being not less than 3 months or more than 6 months after the receipt by it of the notice under subsection (4), upon compliance by the lessee with the provisions of subsection (7).

Where the person giving notice under subsection (4) has not the right to do so TDR shall, within 28 days after receiving the notice, give him notice in writing that it is entitled to refuse, and does refuse, to sell and transfer the holding to him.

A person who has received a notice under subsection (5) shall, on or before the day fixed in the notice, pay to TDR the purchase price of the holding as determined under subsection (10) and any moneys that have become due to TDR up to the day so fixed, including TDR's costs of transferring the holding.

TDR may refuse to transfer in accordance with this section if between the giving of notice under subsection (4) and the day fixed by the notice under subsection (5) the lessee has failed to comply with any of the requirements of this Act or his lease and may require the lessee to satisfy it that he has complied with those requirements.

Refusal by TDR to transfer under subsection (8) may continue only so long as the lessee is in default under that subsection.

The purchase price of a holding for the purposes of this section shall be determined by TDR and stated in the notice under subsection (5), and shall be not more than the capital value on which the rent payable under the lease is calculated.

A lessee who has a right (including an inchoate right) to purchase under this section may, as prescribed, make payments to TDR on account of the purchase price of his holding and shall be credited with interest thereon as prescribed.

If a person who exercised his right of purchase under this section before his settlement lease had been in force for 5 years wishes to sell before that time, he shall give TDR first refusal of the land held thereunder at the purchase price paid by him to TDR therefor, and TDR shall have 6 months from the receipt of his offer in which to notify him whether it accepts or refuses the land.