Land Purchase Act (1875)
Encyclopedia
The Land Purchase Act, 1875 (38th Victoria, Cap. 32) was a statute in Prince Edward Island
Prince Edward Island
Prince Edward Island is a Canadian province consisting of an island of the same name, as well as other islands. The maritime province is the smallest in the nation in both land area and population...

, Canada
Canada
Canada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...

 passed by the General Assembly of Prince Edward Island
Legislative Assembly of Prince Edward Island
The Legislative Assembly of Prince Edward Island, along with the Lieutenant-Governor, forms the parliament of the province. The General Assembly meets at Province House, which is located at the intersection of Richmond and Great George Streets in Charlottetown....

 in 1875. Much of the land in the province was owned by absentee landlords, and the objective of the statute was to force the landlords to sell their estates to the provincial government, which would in turn sell the land at lower prices to local farmers.

Background

In the mid 18th-century, Prince Edward Island was divided into 67 lots, and these lots were were allocated to supporters of King George III by means of a lottery in 1767. As a result, most of the property on the island was owned by absentee landlords in England
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...

, many of whom refused to pay local taxes in the colony, causing resentment among the colony's tenant farmer
Tenant farmer
A tenant farmer is one who resides on and farms land owned by a landlord. Tenant farming is an agricultural production system in which landowners contribute their land and often a measure of operating capital and management; while tenant farmers contribute their labor along with at times varying...

s.

The colonial government first attempted to address the "land question" by enacting the Quit Rent Act in 1774 in order to force the absentee landowners to pay quit rent
Quit-rent
Quit rent , Quit-rent, or quitrent, in practically all cases, is now effectively but not formally a tax or land tax imposed on freehold or leased land by a higher landowning authority, usually a government or its assigns....

 to help fund local administration and infrastructure. When Governor Walter Patterson
Walter Patterson
Walter Patterson was the first British colonial Governor of Prince Edward Island.-Birth and life in the military:...

 attempted in 1771 to seize the properties of owners who had not paid their rents, the Crown
Government of the United Kingdom
Her Majesty's Government is the central government of the United Kingdom of Great Britain and Northern Ireland. The Government is led by the Prime Minister, who selects all the remaining Ministers...

 removed Patterson from office and overturned his actions.

In 1853, the colonial government passed the first Land Purchase Act which empowered it to purchase estates from absentee landowners and to resell the land at lower prices to local farmers. The effort was unsuccessful as landlords could not be forced to sell, and the government lacked the funds to offer attractive prices.

Confederation

In 1873, Prince Edward Island agreed to join Confederation
Canadian Confederation
Canadian Confederation was the process by which the federal Dominion of Canada was formed on July 1, 1867. On that day, three British colonies were formed into four Canadian provinces...

, and one of the terms of union was that the federal government of Canada agreed to contribute $800,000 towards the purchase of absentee landholdings on the Island. On June 30, 1875, the The Land Purchase Act, 1875 received Royal Assent
Royal Assent
The granting of royal assent refers to the method by which any constitutional monarch formally approves and promulgates an act of his or her nation's parliament, thus making it a law...

, which made the sale of estates larger than 500 acres (202.3 ha) compulsory. By the 1880s, the provincial government had purchased purchased 844000 acres (341,555 ha) and resold 624000 acres (252,524.1 ha) to farmers.

Some of the provisions of the 1875 statute continue to this day in the Prince Edward Island Lands Protection Act. Non-residents are not permitted to purchase land in the province in excess of 2 hectares (4.9 acre) without approval from the cabinet.
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