Editing Absentee landlord (section)

== Prince Edward Island ==

An absentee landlord crisis was a key factor in [[Prince Edward Island]]'s decision to become a part of Canada when the idea of [[Confederation]] was proposed in 1867. In the mid-1760s, a survey team divided the Island into 67 lots. On July 1, 1767, these properties were allocated to associates of [[George III]] by means of a lottery. Ownership of the land remained in the hands of British-based landlords, angering settlers on the island who were unable to gain title to land on which they worked and lived. Significant rent charges (to absentee landlords) created further anger. The land had been given to the absentee landlords with a number of conditions attached regarding upkeep and settlement terms; many of these conditions were not satisfied. The settlers spent decades trying to convince the Crown to confiscate the lots, however the descendants of the original owners generally held significant levels of influence with Crown officials and refused to give up the land.

In 1853, the colonial government on the island passed the Land Purchase Act, which empowered them to purchase lands from those owners who were willing to sell, and then resell the land to settlers for low prices. This scheme collapsed when the colonial government ran short of money to continue with the purchases. Many of these lands also were fertile, and were some of the key factors to sustaining Prince Edward Island's economy.

In 1864, the colonial government saw union with Canada as a possible solution to the landlord crisis. This followed a [[rent strike]] and riots on the island. At the [[Charlottetown Conference]], delegates proposed a fund to purchase landlords' holdings if the Island joined Confederation. Several weeks later at the Quebec Conference this offer was withdrawn. The Island resolved not to enter Confederation as a result. The government refused offers from the other provinces and relented in 1873 only after the local economy was pushed near to collapse. Under the terms of union, Canada agreed to provide the Island with an $800 000 fund to purchase the remaining absentee holdings.<ref>[http://www.collectionscanada.ca/confederation/023001-2952-e.html "Library and Archives Canada"] {{webarchive|url=https://web.archive.org/web/20060211190505/http://www.collectionscanada.ca/confederation/023001-2952-e.html |date=2006-02-11 }}, Collections Canada</ref>  in 1875, the ''[[Land Purchase Act (1875)|Land Purchase Act]]'' was enacted to force owners of the large estates to sell their holdings to the provincial government.

The Island's experience with absentee landlords affects its land ownership laws to this day. Non-residents are not permitted to purchase land in excess of two [[hectare]]s without prior approval from the [[Cabinet of Prince Edward Island|cabinet]]. In 2009 an American was fined [[Canadian dollar|$]]29,000 for contravening these laws.<ref>[http://www.cbc.ca/news/canada/prince-edward-island/american-fined-for-buying-p-e-i-land-1.817457 American fined for buying P.E.I. land] CBC News (Nov 13, 2009)</ref>