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Horse Purchase Agreement with Trial Period

Without a written contract, it may be impossible to prove that promises have been made. It`s amazing how often people who break contracts pretend not to remember making those promises, or lie openly and take their word back. Therefore, the best way to deal with an oral contract is to avoid them altogether. For this reason, a written and signed contract that takes into account foreseeable contingencies, including worst-case scenarios, is essential when horses are taken on a trial basis. A seller can prevent these injuries in three ways. First, the seller may require the buyer to pay for the horse`s insurance during the probationary period. In particular, the seller wants the buyer to pay for both mortality insurance and loss of use insurance. When it comes to pre-purchase trials, it is important to be aware of the most likely problem areas: j. If the horse needs to undergo an examination before buying, give the name of the veterinarian, the tests that can be included and who pays. Many experts recommend that the examination be carried out before purchase, before a horse passes the test. In this way, the problem can be identified if the horse becomes lame or sick before the horse is placed in the hands of a buyer. c.

Who is responsible for the care of the horse during the trial and that proper breeding is practiced at all times. First trap: The horse suffers an injury during the probationary period. The seller should always be listed as the owner and emergency contact with the stable where the process takes place. If the potential buyer wants to remove your horse from the property but is not willing to lose 10%, he/she may not be so serious about buying the horse and appreciates the risks of taking the horse out of your control. Another issue is the horse`s potential to cause property or bodily harm to the potential buyer or a third party. In both scenarios, it is advisable to require comprehensive insurance for the testing phase. This means equine medicine and mortality, loss of use, responsibility and care, custody and control. (See September, October, and November 2012.) According to article 2317 of the Civil Code, superficial authority is the authority that causes a client “intentionally or in the absence of ordinary care or allows a third party to believe that the agent owns it”. It has been established that superficial authority must be established by the actions or statements of the client and not by the actions or statements of the agent.

Even if the client knows that the representative claims to have certain powers and remains silent, such conduct on the part of the client may give rise to liability. The horse is compromised because he has suffered an injury during riding A seller/buyer hires a horse professional to benefit from his knowledge and expertise. But even if the seller/buyer is new to horses, he can arm himself with information. For example, although the selling prices of horses are generally not available to the public, the seller/buyer can view the offer prices for horses with comparable breeding and training via horse ads on the Internet. In short, depending on the circumstances, you decide what protective measures you need, and then draft a contract, such as a contract for .B purchase and equine test, before your horse leaves the stable. Finally, if the seller is very suspicious of the testing phase, he can accept a probationary period that takes place in the seller`s stable. In this situation, the buyer would spend several consecutive days and ride a horse. While it`s not as beneficial as trying elsewhere, it still gives the potential buyer several ways to determine if they fit the horse. What happens if the owner of the horse cannot be informed quickly? Once a decision has been made to purchase a horse, the parties must enter into and sign a purchase agreement and a purchase agreement to complete the transaction. A purchase contract is not always necessary, but is highly recommended in most cases.

RESULT. If you think you`re too busy to deal with a contract, then you`re too busy dealing with the legal issues that will arise if the other party doesn`t abide by your verbal agreement. In the trial contract, the seller can determine which activities are allowed during the trial period, that is: who can ride a horse, how high the horse can be jumped, etc. Third trap: the buyer does not pay for the horse. For example, the buyer could take e. If the horse can be removed from the premises during the experiment. h. Who should ride the horse during the exam, for what discipline the horse should be used, which tack should be used and who will cover the costs of a trainer or instructor during the probationary period. Any type of prohibited activity (e.B.

Jumping) must also be clearly indicated. The preamble to the contract must include the full names of the seller and buyer (if they are business entities such as a company or LLC, their names must also be listed) as well as the current addresses. There must be an accurate description of the horse (including name, breed, gender, color/marks, size and age). In addition, the address of the establishment where the horse is to be tested shall be indicated, together with the start and end dates of the test. Other provisions that may make sense are that the potential buyer agrees to be financially responsible for all transportation costs to/from the seller`s stable and farrier fees incurred during the trial period. Often, you will find that potential buyers are interested in buying your horse on one condition: you can have a trial period. An attempt is a period of time when the potential buyer takes the horse to his stable for a “try” to see if it is a good match or not. Financial details vary from case to case, but there is usually a refundable deposit for the horse for the full offer price, which will be refunded upon the horse`s return.

Probationary periods can become very complicated and it is important to think long and hard about the risks associated with studying. If you decide that a process is good, it is important to consult a lawyer who has experience with horse law to help you clarify the details regarding the contract and finances. As a sales transaction becomes more complicated, the terms of a sales contract can also become more complex. This may be the case, for example, if a seller gives guarantees to the buyer (for example. B, a guarantee or promise that the horse is in good health for breeding, presentation or racing purposes) or if the seller has refused guarantees and sells the horse “as is”. The implied warranty of fitness for purpose generally means that the horse may be used as a hunting rider if sold as such. Ensuring marketing means that the horse can be sold commercially as it meets the usual requirements of commercially sold horses or horse breed. When buying a horse, whether in an auction house, individually or even on the Internet, check its hooves! While a pre-emption check by a reputable veterinarian and farrier is ideal, it is not always feasible. From the horse Jekyll and Hyde, who seemed to be the model of the decency of the horses in the seller`s farm, to become a holy terror when he arrives at your barn, to the buyer who presents himself as a candidate for holiness but turns around and runs away with your beloved horse never to be heard by Him again, and each scenario in between, pre-purchase attempts are fraught with potentially serious problems for both parties to the transaction. Third, the seller can protect his liability during the trial period by acquiring insurance coverage that covers the policyholder`s legal liability for bodily injury and property damage caused to others as a result of their horse`s ownership. This usually includes third-party claims brought by the seller`s horse, even if the horse was no longer on the seller`s property. This type of insurance is an effective tool that protects the seller from any liability during the testing phase.

If the horse gets sick, injured or dies in the process, what are the tasks of the parties involved? Who pays the vet`s bills or the loss of the horse? The seller may be held liable if the horse inflicts harm on the buyer or a third party during the trial period. Finally, if you are dealing with a person who will not sign a written contract, consider it a huge red flag and leave, no matter how much you love the horse. If you do not intend to consult a lawyer about a contract when buying or selling a horse, protect yourself by drafting a simple and enforceable contract that covers the essential points of the purchase contract. In Alvarez v. Felker Mfg. Co. (1964) 230 CalApp.2d 987, the court concluded that the essential characteristics of an agency relationship are as follows: (1) the agent is authorized to modify the legal relationship between a principal and a third party, (2) the agent is a trustee with respect to matters within the agency`s jurisdiction, and (3) the Client has the right to control the conduct of the Agent with respect to matters entrusted to him. .

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