Farm Leases In Nebraska

Leasing of farmland, farm equipment, and livestock grows each year. To avoid increased risk
with leasing it’s important to protect yourself as either a tenant or landlord by taking the following
actions:
1. Put leases into writing. Oral leases are common in Nebraska but they too often lead to disputes
over who said what and what did each person mean. Using a written lease doesn’t
mean you mistrust each other. It just means you don’t want to rely on memories and communication
that can fail.
2. A good lease should cover the following issues: the type (cash rent or crop-share) and
amount of rent; responsibility for cost of seed, fertilizer, and chemicals; length of lease;
the method and timing for terminating the lease; a procedure for amending the lease; the
landlord’s right to enter the property after notice of termination; limits on subleasing; land
use obligations such as conservation compliance; participation in farm programs; types of
crops to be planted; pesticide use; insurance; weed control; responsibility for improvements
to land and buildings; and the form of notice of default.
3. Have the landlord obtain a perfected lien in the crops to increase the chance of payment.
The lien will come behind any prior liens but it might still reduce the risk of receiving no
payment at all.
4. If you do have an oral year to year lease remember that notices to terminate or alter the
lease must be given prior to September 1st of the year preceding the crop year covered by
the lease.