Many horses are bought and sold each October before, during, and after the All-American Quarter Horse Congress and this year will likely be no different.  While shopping for a new horse can be an exciting time, it can also be daunting.  To avoid buyer’s remorse, you should keep the following in mind when buying a new horse:

Have a written contract.  Always have a written contract.  No matter how well you may know the seller or how reputable you think they are, you should never purchase a horse on a promise and a handshake.  The sale agreement may be as comprehensive as the parties see fit, but a basic contract should include the following:

• Identity of the parties.  Include the name and contact information for the buyer(s) and seller(s) as well as the identities of any agents or attorney involved. 

• Identity of the horse.  Include the breed association name and registration number of the horse as well as the age, color and markings.

• Financial information.  Include the sale price and any payment terms such as deposits, payment installments, interest or penalties for late payments, etc.  If a commission is included in the sale, the amount to be paid should be identified as well as the person receiving the commission and the party responsible for paying it.

• Conditions of the sale.  Include any conditions that could make or break the deal.  For example, the purchase may be contingent upon a satisfactory “vet check” or a trial period.  Any conditions should be spelled out with specificity to avoid any confusion between the parties.

• Governing law.  Include language about how and where legal disputes will be handled if something goes wrong.  Most standard contracts include this legal language, but it is important to note as it can affect your rights. For example, if the buyer is from Texas, the seller is from Florida and the horse was sold in Ohio, then where would the parties want a contract dispute be litigated?  Be sure to reduce these details to writing.

• Signature and date.  Include signatures of all parties to the agreement as well as the date the contract is signed.  Also, be sure to make a copy of the fully executed agreement and keep it in a safe place.

Having a written contract alone is not enough.  You need to know and understand what you are signing.  Simply downloading a form contract off the internet and signing it does more harm than good.   If you have questions about a sale contract, then have an equine attorney review the document before you sign.

Get a pre-purchase vet exam.  Always have a pre-purchase exam performed by the veterinarian of your choosing.  The exam should be as comprehensive as possible.  Have the vet actually examine the horse and observe the horse being ridden, if possible.   You should have diagnostic testing performed such as X-rays of the hooves, fetlocks, hocks and stifles to rule out any otherwise undetectable unsoundness.  A vet is unlikely to “pass” or “fail” a horse, but rather help the buyer come to an educated decision based upon the information in the report. 

Get a second opinion.  Take your trainer or another experienced professional with you when shopping for a new horse.  This person will be able to give you an objective opinion as to whether the horse is a good fit for you in terms of temperament, abilities and suitability for the events you compete in.  Having a second set of eyes and ears it helpful to catch anything you might miss.

Do your research.  Act like a private investigator.  Look the horse up online on breed show databases (i.e. pull the show record from AQHA).  Check out YouTube or Facebook for pictures and videos of the horse.  You never know what you may turn up.  Also, talk to people who know the horse.  Is this horse too good to be true?  Does it have a good reputation or is it known to be ring sour or dangerous?

Sleep on it.  While you may be convinced you found your dream horse, take some time to seriously consider the purchase and think about whether a particular horse is right for you.  In fact, you may want to go look at other horses or take a break from shopping altogether.  Do not feel pressured into making a quick and expensive decision.

Katherine Jarve is a partner at the Marlton, New Jersey law firm of Jarve Kaplan Granato Starr, LLC. She is licensed in New Jersey and Pennsylvania and maintains a practice in personal injury and civil litigation, including equine related issues. Katherine spent her childhood competing on the national AQHA show circuit. This article is for informational purposes only and is not intended to be legal advice. If you have a specific legal question or problem, consult with an experienced equine law attorney. Questions, comments or suggestions can be e-mailed to kjarve@nj-triallawyers.com.