Melby Farm (renamed Emmerdale Farm III) was a farm owned by the Sugdens when they were forced to vacate Emmerdale Farm in 1997. Later that year, Jack and Sarah's marriage began to fall apart when Jack had an affair with Rachel Hughes. They tried to put things right but financial issues threatened to push them apart. Sarah then left Jack after having an affair with Richie Carter. However, in November 2000, Sarah wanted to take Jack back but Richie pulled her into a barn to try convince her to change her mind. At the same time, Andy tried to resolve the financial problems by burning down the barn, not realising Sarah and Richie were inside. Richie got down in time but a small explosion knocked down the ladder. Sarah refused to jump and told Richie to save himself. Richie did and the barn exploded, killing Sarah instantly. Jack later sold the farm in late 2001 as he could no longer afford to keep it running.