Agricultural Law
Our team has been assisting agricultural businesses for years.
Agricultural Law in Michigan
Our Team Approach for Agricultural Law
Here in Holland, Michigan, we have developed a broad knowledge of agricultural law along with a team approach. We’ve found that having overlapping expertise in relevant areas provides our clients with outcomes that have far surpassed their expectations.
Voted Best Law Firm in Holland, Michigan
Attorney Articles
Celebrating Our Recognition in the 15th Edition of Best Law Firms®
We’re thrilled to share some exciting news—our firm has been recognized in the 15th edition of Best Law Firms®! This
Celebrating Our Firm’s Recognition in Grand Rapids Top Lawyers 2024!
We’re proud to announce that several of our attorneys—Tom Hillegonds, Rob Howard, Haans Mulder, Susan Vroegop, Ron Vander Veen, Brad
Medicaid Planning Seminar – Nov 2024
Cunningham Dalman will be hosting a Medicaid Planning Seminar on Thursday, November 21, 2024, 5:30-7:00 pm. We’ll cover important topics
Estate Planning Seminar – Oct 2024
Cunningham Dalman will be hosting an Estate Planning Seminar on Thursday, October 24, 2024 from 5:30-7:00 pm. We’ll cover important
Protecting Your Agricultural Interests!
KNOW Your Options. our agricultural attorneys have years of experience across michigan.Â
Agricultural Law Services
Agricultural Entity Formation & Planning
Our attorneys assist farmers and ag-related businesses with formation & tax planning strategies.
PlanningAgricultural Construction Law & Land Use
Agricultural law is becoming more complex for land use and zoning restrictions in many areas. Our agricultural attorneys work alongside our real estate & environmental law practice to give you complete representation.
Zoning & Land UseEnvironmental Regulations
Ag-related businesses are having to adopt new policies to comply with regulations for manure management, wetland regulations, water runoff, and more. Cunningham Dalman has a diverse team of attorneys who specialize in multiple areas of law being affected by environmental concerns.Â
EnvironmentalEstate Planning, Taxes, & Succession Plans
Family farms and ag-related businesses should all invest in "Agricultural Estate Planning". Planning today is more important than ever to ensure multi-generational farms & ranches are protected.Â
Tax PlanningContracts, Disputes, & Insurance
Our team assists on agricultural contracts for buy/sell agreements, land leases, equipment, livestock, and other arrangements. We also provide counsel on common disputes related to water drainage, public nuisance claims, and environmental issues with government agencies.
learn moreAgricultural Employment Laws
Farmers and Ag-related businesses have a wide variety of issues & concerns to address in terms of employment laws. Our employment law practice helps assist in these areas.
Employment LawWorking for You in Multiple Areas of Agricultural Law
keeping up with new agribusiness concerns. Let our agricultural attorneys keep you advised on changes.Â
assisting with agricultural business planning
Agricultural Entity Formation & Planning
Our Agricultural practice assists farmers and ag-related businesses in choosing the best structure possible for tax & legal ramifications. Our attorneys take a long-range approach to understanding today’s operations, plans for the future, and succession planning for the next generation. We will assist you in determining the best structure to limit your tax and liability exposure. There are several issues regarding taxes which should be address on a case-by-case basis.Â
Cunningham Dalman also has a dedicated practice for “Business & Corporate” law which provides expertise in business entity formation and important tax planning decisions.
Five Basic Business Structures:
- Sole Proprietorship - This is a simple structure where there is one owner and this owner maintains complete control of the business. Business profits are reported on the owner's personal tax return.
- Limited Liability Company - LLCs are gaining popularity with agricultural businesses and allow for multiple owners. These owners are called members or partners and have an operating agreement in place to address daily operations, ownership stakes, decision making, functional roles, and financial matters. In simple terms, the operating agreement becomes a binding set of rules for members to follow.
- Partnerships - Two or more agricultural owners can form a partnership and a legal agreement will outline each partner's function & contribution. Profits & losses are shared according to the agreement and each partner pays taxes on their share. The partnership itself does not pay income tax as an entity.
- Corporations - A corporation is owned by shareholders and offers several benefits in terms of raising funds through selling stock or attracting outside investors. These structures can be expensive and require complex planning to form.
- Cooperative - These are generally put in place to allow a group of farmers or ag-related businesses to join forces and reduce overall costs on services or allow them to market products to larger enterprises. Co-ops have members who have equal voting power and are controlled by a set of by-laws.
state & local zoning requirements
Agricultural Construction Law & Land Use
Agricultural land use, regulations, and local, state, & federal laws for agribusinesses are ever changing & becoming more complex each year. In 2000, the Michigan Right to Farm Act (“RTFA”) (Public Act 93 of 1981), was amended in an attempt to keep townships & local municipalities from enforcing their zoning laws on farming and other agricultural businesses. Site selection for new livestock operations or expansions must accommodate for water quality, odor control, future land use & development patterns, and more.
Cunningham Dalman has decades of experience in construction law, zoning permits, and representing agricultural clients across the state of Michigan.Â
Areas Where We Can Assist:
- Land Acquisitions - Our attorneys are setup to assist agricultural businesses in purchasing or selling land. In addition to writing a non-binding "letter of intent", we can assist you in doing your due diligence to ensure it's the right investment.
- Zoning - In Michigan, the Right to Farm Act gives agricultural entities some exceptions to local zoning authorities. This area of law is ever changing and being challenged in the courts based on how certain municipalities view a property.
- PA 116 Agreements - Michigan PA 116 agreements allow farmers to preserve land for agricultural use and receive tax benefits and/or special exemptions for assessments proposed for water & sewer improvements, lights, or other non-farm drain projects.
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Construction Law - Cunningham Dalman has a dedicated team of attorneys for construction contract reviews, site / development plans, mediation, subcontractor agreements, litigation, and more.
For additional information, please visit our Construction Law practice page.
managing environmental concerns for agricultural
Environmental Regulations for Agricultural Businesses
Farmers and other ag-related business owners are having to comply with stricter regulations related to the hydrologic cycle and their operations. Agricultural law now involves issues of land use, urban & agricultural water demands, water runoff, drainage, irrigation, wildlife habitats, invasive species, soil erosion & conservation, effects of pesticides, effects on watersheds, field fertilizing techniques, and more.Â
In addition, the trend of larger farms is bringing new challenges in terms of environmental protection, animal well-being, and community relations.
Areas Where We Can Assist:
- Manure Management Systems - Farmers and agricultural businesses are being challenged to develop, adapt, and use manure management best practices to reduce pathogen loads prior to land applications.
- Right to Farm - The Michigan Right to Farm Act ("RTFA") in simple terms provides legal protection to farms who operate within the GAAMPs (Generally Accepted Agricultural and Management Processes) that have been laid out by MDARD (Michigan Department of Agriculture and Rural Development.
- Wetland Permits & Mitigation - The MDEQ (Michigan Department of Environmental Quality) established an Agricultural Assistance program to help farmers and other ag-related businesses to find common ground to comply with wetland statutory requirements. Our team can assist you with understanding pre-application process, filing permits as required, and representing you during the process.
assisting you with long-term planning
Estate Planning, Taxes, & Succession Planning
If you own a farm, ranch, or anything ag-related today, your land is likely the most valuable asset you have and the tax authorities understand this as well. Unfortunately, it’s estimated by NASS (U.S. Department of Agriculture’s National Agricultural Statistics Service) that only 30% of farms will survive into the 2nd generation. The reasoning is quite simple: most don’t do any type of financial, estate, or tax planning to ensure the family business survives.
 Cunningham Dalman provides extensive financial, tax, and estate planning for our agricultural clients to ensure your enterprise can stay in the family for years to come.
Areas Where We Can Assist:
- Estate Tax Planning - Cunningham Dalman has a dedicated Estate Planning practice to complement our Agricultural expertise for West Michigan. A good agricultural estate plan should be designed to provide clarity on today's operations and how future plans will be laid out. Family farms can become liabilities to the remaining family members if careful planning is not put in place.
- Succession Planning - In the simplest form, succession planning for your farm or ag-related business should cover assets & operations. Your land and business operations are two distinct areas and should be addressed as such. Our attorneys help clients walk through a discovery process of what's involved in your operation, family members, and all of the assets involved.
- Trusts - A trust is a legal structure designed to hold, manage, and distribute property. For more information on the different types of trusts available to farm and/or ag-related businesses, please refer to our Estate Planning page.
understanding local, state, & federal laws
Agricultural Contracts & Disputes
Many agricultural business enterprises are expanding and dealing with larger partners or entering into production agreements. Contracts are becoming more popular and negotiating terms that protect your business is more important than ever.Â
In addition, common contracts are required for purchasing & selling land, land leases, equipment loans & leases, and mortgages. As agricultural law becomes more complex in the area of environmental regulation, it’s important to have representation which is knowledgeable on multiple fronts and understands Michigan law.
Areas Where We Can Assist:
- Buy / Sell Agreements - A well drafted buy-sell agreement should be integrated into most farm and/or ag-related estate plans. These can be just as important as a trust and help establish business ownership continuity for the family business.
- Land Leases - A growing trend over several decades has been for family farms to lease out their land and allow someone else to run the farming operation itself. Our attorneys can assist with fixed cash leases, crop shares, yield-based, and custom contracts.
- Litigation / Disputes - Farmers and ag-related businesses have many of the same issues & disputes as a traditional business. These include shareholder disputes, family issues related to inheritances, property related right-of-way issues, nuisance claims, contracts, and many more.
- Insurance - Insurance coverage assessing the risks of your farm or ag-related business is certainly important and our attorneys can assist you in evaluating your options. Insurance policies can include farm machinery, equipment, livestock, stored products, liability, worker's compensation, and more. Feel free to reach out to our agricultural team and have them review your coverage & benefit from our experience in this area of law.
Agricultural Law FAQ
Most frequent questions and answers
Michigan Farm Bureau estimates there are more than 51,000 farms and close to 10 million acres.
Michigan Farm Bureau estimates 22% of the state’s workforce is employed in agriculture, food processing, and related businesses.
