Movement restrictions prevented farmers from trading
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The National Farmers' Union has said it will launch a compensation claim over the summer's foot-and-mouth outbreak.
The action will be brought against the Merial Laboratory and the Institute of Animal Health in Pirbright, Surrey, where the outbreak began.
Lawyers acting for the NFU have sent out letters claiming negligence and citing case law on liability.
The NFU says that nearly 1,000 farmers have contacted its hotline expressing willingness to take part in the bid.
Many of the losses were brought about by the movement restrictions imposed following the foot-and-mouth outbreaks in Surrey in August and September.
A ban on the importation of livestock and controls on the commercial importation of meat remains in place.
Anna Hill, of the BBC's Farming Today, said it is likely that the case will go to the High Court, but that farmers may not see payments for at least a year even if they win their case.
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