Editing Hypothec (section)

====Scotland{{anchor|Hypothec Amendment (Scotland) Act 1867|Hypothec Abolition (Scotland) Act 1880}}====
{{Infobox UK legislation
| short_title           = Hypothec Amendment (Scotland) Act 1867
| type                  = Act
| parliament            = Parliament of the United Kingdom
| long_title            = An Act to amend the Law relating to the Landlord’s Right of Hypothec in Scotland, in so far as respects Land held for Agricultural or Grazing Purposes.
| year                  = 1867
| citation              = [[30 & 31 Vict.]] c. 42
| introduced_commons    = 
| introduced_lords      = 
| territorial_extent    = Scotland
| royal_assent          = 15 July 1867
| commencement          = 
| expiry_date           = 
| repeal_date           = 
| amends                = 
| replaces              = 
| amendments            = 
| repealing_legislation = {{ubli|[[Bankruptcy and Diligence etc. (Scotland) Act 2007]]}}
| related_legislation   = 
| status                = repealed
| legislation_history   = 
| theyworkforyou        = 
| millbankhansard       = 
| original_text         = 
| revised_text          = 
| use_new_UK-LEG        = 
| UK-LEG_title          = 
| collapsed             = yes
}}
{{Infobox UK legislation
| short_title           = Hypothec Abolition (Scotland) Act 1880
| type                  = Act
| parliament            = Parliament of the United Kingdom
| long_title            = An Act to abolish the Landlord’s Right of Hypothec for Rent in Scotland.
| year                  = 1880
| citation              = [[43 Vict.]] c. 12
| introduced_commons    = 
| introduced_lords      = 
| territorial_extent    = Scotland
| royal_assent          = 24 March 1880
| commencement          = 
| expiry_date           = 
| repeal_date           = 
| amends                = 
| replaces              = 
| amendments            = 
| repealing_legislation = {{ubli|[[Bankruptcy and Diligence etc. (Scotland) Act 2007]]}}
| related_legislation   = 
| status                = repealed
| legislation_history   = 
| theyworkforyou        = 
| millbankhansard       = 
| original_text         = 
| revised_text          = 
| use_new_UK-LEG        = 
| UK-LEG_title          = 
| collapsed             = yes
}}
The law of agricultural hypothec long caused much discontent in Scotland; its operation was restricted by the [[Hypothec Amendment (Scotland) Act 1867]] ([[30 & 31 Vict.]] c. 42),<ref>[http://www.legislation.gov.uk/ukpga/Vict/30-31/42/contents Hypothec Amendment (Scotland) Act 1867]</ref> and by the [[Hypothec Abolition (Scotland) Act 1880]] ([[43 Vict.]] c. 12)<ref>[http://www.legislation.gov.uk/ukpga/Vict/43/12/contents Hypothec Abolition (Scotland) Act 1880]</ref> it was enacted that the landlord's right of hypothec for the rent of land, including the rent of any buildings thereon, exceeding two [[acre]]s (8,000 m{{sup|2}}) in extent, let for agriculture or pasture, shall cease and determine. By the same act and by the [[Agricultural Holdings (Scotland) Act 1883]] ([[46 & 47 Vict.]] c. 62) other rights and remedies for rent, where the right of hypothec had ceased, were given to the landlord.<ref name="EB1911"/>

Under Scots law, landlord's hypothec is a common law right of security enjoyed by landlords over any goods sited on the leased premises, regardless of who owns those goods.  The hypothec does not secure all sums which happen to be due to the landlord, only a portion of the rent. Landlord's hypothec is enforced by court proceedings known as sequestration for rent. The [[Bankruptcy and Diligence etc. (Scotland) Act 2007]] (asp 3)<ref>[http://www.legislation.gov.uk/asp/2007/3/section/208#text%3D%22sequestration%20for%20rent%22 Bankruptcy and Diligence etc. (Scotland) Act 2007, section 208]</ref> abolishes the common law diligence of sequestration for rent.

The [[Scottish Executive]] felt that such a mechanism had no part to play in a modern enforcement system, not least because a landlord is able to use other diligences to recover unpaid rent, such as attachment sequestration for rent can now be used to sell only goods that are secured by a right known as the landlord's hypothec, which arises automatically whenever there is a qualifying lease.

The act makes some changes to the hypothec, even though it is not a diligence.  For example, it completes the process of abolishing the hypothec over goods in dwelling-houses that was initiated by the [[Debt Arrangement and Attachment (Scotland) Act 2002]] (section 208(3) of the 2007 act).  It also abolishes the hypothec over goods owned by a third party (section 208(4)).

The act also states that, notwithstanding the abolition of sequestration for rent, landlord's hypothec does continue as a right in security (section 208(2)(a)).