Standing Stallions, Breeding Mares and the Law: Your Pre-Breeding Season Legal Checkup
For horse owners and breeders, there are preparations to tackle before the breeding season commences. This article gives helpful hints at how breeders can best be organized so that problems concerning the breeding process will be avoided and kept to a minimum.
This type of preparation is more on the legal side. It is essential to manage the paperwork before the breeding season is in full swing. Don’t wait until you’re too busy to look at them- better to get them out of the way as soon as possible.
The contracts you will be using will need to be reviewed. Horse management involves getting the details of the agreement right and understanding the terms of the contracts. Some issues that that breeders need to be particular about are the kind of warranties that are offered, like live foal guarantees and who is accountable for insuring the mare during transportation, and what kind of protection is available in cases of injury and the spread of an infectious disease.
But once the breeding contract is agreed upon and signed, the breeder’s legal issues do not stop there. There may be other contracts that will be needed. Boarding contracts will need to be looked into if mares are coming to the farm or the farm is sending mares out. Liability releases will also need to be considered to protect the breeder and the farm. Insurance that is available to horses should be obtained by owners of stallions, mares and stud farms. Types of insurance include care, custody and control, mortality and surgical and stallion fertility insurance. As legal issues can arise unexpectedly, it is best that the horses are insured to avoid such problems.
An example stated in this article is when a stallion owner can protect himself from lawsuits from unsatisfied mare owners. First and foremost, have your stallion checked for fertility by a qualified veterinarian. Microscopes ( examples that are used to study metals though are the metallographic microscopes) can help you study their fertility. There is nothing worse than advertising the stallion and getting him booked for the season, only to find out that he is infertile and none of the mares he has bred with are with foal. Breach of contract, false advertising and fraud are only some of the lawsuits that the stallion owner can anticipate.
If the owner or breeder is still unsure how all this paperwork should pan out, the article recommends seeking professional advice. All states have lawyers that cater to such cases and practice professional equine law. The owner should also consult an account, one that specializes in tax and business planning concerning horse breeding. Insurance experts may also give a list and explain insurance policies that are available.
There are helpful pointers included in the article for stud farms, stallion and mare owners alike. These include checklists like ensuring the fertility of the stallion, checking into the state’s sales tax requirements, reviewing the contracts, getting insurance for the horses, compliance to shipping requirements of the mare or stallion and most important of all, if the owner or breeder has fully understood the contracts involved.
ORIGINAL TEXT:
While the next breeding season is still some time away, now might be a good time to get prepared.
There are some obvious legal issues involved in breeding horses. Well before the season gets into full swing, you need to prepare (or review) the contracts you will be using. As in many areas of horse management, it is very important to nail down all of the terms of a breeding agreement. Whether you prepare the contract or have one sent to you to sign, a thorough understanding of the terms is essential. Some of the issues peculiar to breeding contracts are the kind of warranties that are offered (such as live-foal guarantees), who is responsible for insuring the mare during transport and at the farm, and what kind of protections are utilized against injury and the spread of contagious disease.
You are not done thinking about legal issues once you have a breeding contract. Other contracts may be necessary. For example, if mares are coming to your farm (or you are sending a mare out), you should look into boarding contracts (mare care) and liability releases. If you own a stallion being stood at another farm, you should also have a stallion management contract. You might think about insurance with respect to limiting liability or satisfying contractual requirements. Stallion-owners, stud farms, and mare-owners should look into the kind of insurance available for horses. The types typically offered which are relevant to horse breeding include the following: Care, Custody and Control (for horses on your property that you do not own); Mortality and Surgical (for your own horses); and Stallion Fertility Insurance. Legal issues can crop up in some unexpected places.
For example, as a stallion owner, you may have been advertising your stallions for months already. Save yourself some aggravation and a lot of money–if you have any doubt about the horse’s fertility, have it checked by a qualified veterinarian. Sure, it is an extra expense. . . . But, before you decide against it, imagine this scenario: Your advertising pans out and your horse’s book is full. By March you are welcoming mares at your farm. By the end of the season, none are settled. Do you really want to try to convince a lot of angry mare-owners that, in exchange for the thousands of dollars they put into booking fees, transportation, mare care, and veterinary expenses, they have the right to try again NEXT YEAR? You may as well get ready for the lawsuits involving false advertising, fraud, and breach of contract. And just wait for the negative publicity campaign. You better take a deep breath and get your checkbook out . . . .
Whether you own mares or stallions, before you sign anything or make any commitments, think about getting some professional advice. There are attorneys practicing equine law in most, if not all states. You may also want to talk to an accountant with equine expertise about tax and business planning issues related to horse breeding. Insurance agents can give you the run-down on the kinds of policies available, if you opt to get insurance coverage. The following checklists may get you started thinking about your legal position. Remember that these lists are NOT exhaustive, but only intended as a starting point.
• A Partial Pre-Season Checklist for Stud Farms and Stallion-Owners: Did you check the fertility of your stallion?
o Did you check into state’s sales tax requirements and comply with those laws?
o Standing outside stallions? Are your stallion management contracts and releases in good order?
o Have the breeding contracts been reviewed and found satisfactory?
o Are your boarding/mare care contracts up to snuff?
o Shipping semen? Review contracts, and be extra careful about guarantees and giving instructions for AI.
o Do your contracts comply with all state laws relating to mandatory contract language?
o Have you thought about stallion fertility and mortality insurance? Do you need Care/Custody/Control insurance for outside mares and foals?
• A Partial Pre-Season Checklist for Mare-Owners:
o Do you understand the breeding contracts? Pay special attention to live foal guarantees, refunds and return breeding provisions.
o Did you comply with all contractual requirements prior to shipping your mare (such as a Coggins test for out-of-state transport, innoculations and cultures in accordance with stud farm requirements)?
o Does the stud farm have Care, Custody and Control insurance that will cover your mare?
o Did you check into the stud farm’s boarding requirements for mares and foals at foot?
o Do you have a contract for transporting your mare?
o Breeding AI? Do you have a competent person to do the work to protect your rights under the breeding contract?
NOTE: This article is designed for educational purposes only and is not intended to constitute legal advice. For specific information or advice on how the laws affect you, you should contact an attorney qualified to advise you in this area. Original article