Family farms often rely on trust and long‑standing understandings, but the High Court’s decision in Conway v Conway shows how dangerous that can be. In this case, a couple spent over £230,000 renovating a barn they believed they were buying based on a verbal agreement from a cousin who owned the farm. When the relationship soured, the owner tried to shut them out — and the whole thing ended up in court.
The couple argued proprietary estoppel which is a legal claim used when someone is promised rights over land, relies on that promise, and suffers a loss. The court can step in to prevent unfairness — but it won’t enforce an invalid land contract. In this case, the couple argued that they were promised the property, relied on that promise, and suffered real loss. The Court agreed they’d acted in good faith, but it also made something very clear:
You can’t use proprietary estoppel to enforce an informal land deal. If it’s not written down, it’s not secure.
Instead of forcing a sale, the High Court sent the case back to the lower court to decide a fairer remedy — likely compensation rather than ownership.
What this means for farming families
- Verbal promises aren’t enough when land or succession is involved.
- Courts are tightening up on informal family arrangements.
- Proprietary estoppel still exists, but it won’t override the legal requirement for written, signed land contracts.
- If you’re planning succession, gifting buildings, or selling to family, get it documented properly before money is spent.
Call to Action
If you’re discussing the future of your farm, passing on land, or helping the next generation get started, now is the time to put things in writing.
At Farm & Country Finance, we come across these situations, often when things have gone too far. A simple written agreement or early advice could prevent years of stress, legal fees and family fallout. We can help where finance is required and point you in the right direction to get sound advice.
Get in touch for a confidential chat about your plans — before a promise becomes a problem.
FAQ: Proprietary Estoppel & Farm Succession
What is proprietary estoppel?
It’s a legal claim used when someone is promised rights over land, relies on that promise, and suffers a loss. The court can step in to prevent unfairness — but it won’t enforce an invalid land contract.
Can a verbal promise about the farm be legally binding?
Not for land sales or transfers. The law requires written, signed agreements. Verbal promises alone are extremely risky.
Does proprietary estoppel guarantee I’ll get the land?
No. The court’s goal is fairness, not fulfilling expectations. Remedies can include compensation rather than ownership.
How do I avoid disputes like Conway v Conway?
Document intentions early. Use written agreements. Get advice before money is spent or work begins.
Can Farm & Country Finance help with this?
Yes. We help farming families navigate the financial and legal issues around succession, property and family arrangements by providing the necessary finance, where required, and pointing you in the right direction for advice.
