Federated Farmers Nz Sharemilking Agreement

Federated Farmers NZ Sharemilking Agreement: A Comprehensive Guide

Sharemilking is a popular farming arrangement in New Zealand, where a farmer (the landowner) provides the land and infrastructure, while the sharemilker (the farmer) provides the labour, cows, and equipment. The sharemilker typically receives a percentage of the milk income and pays for their expenses.

To protect both parties, it is essential to have a written agreement that outlines the terms and conditions of the sharemilking arrangement. Federated Farmers NZ Sharemilking Agreement is a widely accepted and comprehensive agreement that provides a clear framework for sharemilking.

Here`s what you need to know about the Federated Farmers NZ Sharemilking Agreement:

1. Parties involved: The agreement must clearly state the names and addresses of the landowner and sharemilker, along with their respective obligations and responsibilities.

2. Term of the agreement: The duration of the agreement must be specified, along with any options to extend or terminate the agreement.

3. Milk income and expenses: The sharemilker`s share of the milk income must be specified, along with the expenses they are responsible for, such as feed and veterinary costs.

4. Stock: The agreement must specify who owns the stock, and who is responsible for their welfare and management.

5. Production targets: The agreement should include production targets and how they will be measured, along with any penalties for not meeting those targets.

6. Maintenance and repairs: The agreement must outline who is responsible for maintaining and repairing buildings, fences, and other infrastructure.

7. Dispute resolution: It is important to include a dispute resolution clause in the agreement, which outlines the procedure for resolving any disputes that may arise between the parties.

8. Insurance: The agreement should specify who is responsible for insuring the property, livestock, and equipment.

9. Health and safety: The agreement must adhere to the health and safety standards in New Zealand, and must specify who is responsible for health and safety on the farm.

10. Consent of bank: In some cases, the agreement may need to be approved by the bank that holds the mortgage on the property.

In conclusion, the Federated Farmers NZ Sharemilking Agreement is a comprehensive agreement that provides a clear framework for sharemilking arrangements. It is essential to have a written agreement in place to protect both parties and ensure a successful sharemilking relationship.