This Act gives a landlord, vendor, or mortgagee a priority interest in certain crops or their proceeds when a lease, sale agreement, or mortgage is tied to crop payment.
The Crop Payments Act, C.C.S.M. c. C320 bilingual version (HTML) HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Manitoba, enacts as follows: Priority of lessor, vendor, mortgagee, etc. 1 Where (a) a bona fide lease or attornment of land, or of land with chattels, has been made and a bona fide tenancy created between a landlord and tenant; or (b) a valid agreement of sale of land, or of land with chattels, has been made; or (c) a mortgage of land has been made; providing for payment (d) of the rent reserved by the lease or attornment; or (e) in lieu of rent; or (f) of the moneys secured by the agreement of sale or mortgage, or any covenant or agreement therein relative thereto, or of any part thereof; by the tenant, purchaser, or mortgagor (g) delivering to the landlord, vendor, or mortgagee a share of the crops grown, growing, or to be grown, on the land; or (h) paying to the landlord, vendor, or mortgagee the proceeds of such a share; the landlord, vendor, or mortgagee, notwithstanding anything in The Personal Property Security Act , or in any other statute or in the common law, at all times until the delivery or payment, has (without, in the case of such a lease or attornment or agreement of sale, any manner of registration thereof) a right to, and a special property or interest in, those crops or the proceeds thereof, to the extent of the share or interest so reserved or agreed to be delivered or paid over, in priority to the interest of the tenant, purchaser, or mortgagor in those crops or the proceeds thereof, and to the interest of any other person who, not having an estate or interest in, or a charge on, the land paramount to the estate, interest, or charge of the landlord, vendor, or mortgagee therein or thereon, claims through or under the tenant, purchaser, or mortgagor, whether as execution creditor, purchaser, mortgagee, or otherwise. Intention of Act 2 It is the intention of this Act that, in all such cases, the share of crops, or the proceeds thereof, so agreed to be reserved, delivered, or paid over, to the landlord, vendor, or mortgagee are not, under any circumstances, capable of alienation by the tenant, purchaser, or mortgagor, whether voluntarily or by any legal process against him. Special property or interest in crops not to be impaired in certain events 3(1) Subject to subsection (2), the right to, and the special property or interest in, crops or the proceeds thereof, mentioned in section 1, is not defeated or impaired by, or in the event of, the crop being sown, grown, or reaped, in whole or in part by someone other than the tenant, purchaser, or mortgagor; and that right and property or interest exists in respect of its crop or its proceeds in favour of the landlord, vendor, or mortgagee, as the case may be, in priority to the interest of any other person not having an estate or interest in, or a charge upon, the land paramount to the estate, interest, or charge, of the landlord, vendor, or mortgagee therein or thereon. Limitation 3(2) The right to, and special property or interest in, crops sown, grown, or reaped, by a person who, without notice of the lease, attornment, agreement of sale or mortgage, had become a bona fide purchaser or tenant of the land from the tenant, purchaser, or mortgagor, or in the proceeds thereof, is as between the landlord, vendor, or mortgagee and the bona fide purchaser or tenant, limited to the quantity or amount, or the equivalent in value of the quantity or amount, which, at the time of the giving by or on behalf of the landlord, vendor, or mortgagee to the person by whom the crops were sown, grown, or reaped, of a notice in writing of the existence of the lease, attornment, mortgage, or agreement of sale, is or is to become, in the year of that growing, deliverable or payable by the person so notified under the terms of the agreement of sale or demise to that person. Applicable against assigns, etc. 4 Sections 1, 2 and 3 are binding upon, and effectual as against, the personal representatives, successors, and assigns of the tenant, purchaser, or mortgagor and enure to the benefit of the personal representatives, successors, and assigns of the landlord, vendor, or mortgagee. Priority of seed grain mortgages 5 Nothing in this Act affects the priority given to perfected security interests in crops and their proceeds by subsection 34(1) of The Personal Property Security Act , or the preferential lien upon crops given to the government for amounts advanced for the purchase of seed grain. S.M. 1996, c. 58, s. 449 .