EQUINE Partnerships
well versed in the equestrian industry can
help address these issues and ensure that all
necessary details are covered. Among other
provisions, a proper agreement governing the
shared ownership of a horse must include the
following at bare minimum:
• What percentage of the horse does each
partner own?
• Are monetary expenses divided pro-rata or
on some other basis depending on the
amount of work a partner provides?
• Does transferring the interest in the
partnership require approval by
other partners?
• Does an acquisition of a partnership interest
include funding operational costs up front
or are costs to be paid on an ongoing basis?
Is there a provision for assessing the partners
for additional expenses in the event of
an emergency?
• Who is responsible for day to day decisions
regarding the use of the horse and its care?
• Are fees to cover the expense of having a
manager/trainer contemplated?
• Will an account be set up to hold partnership
money to fund the costs associated with the
horse? How will that money be distributed
upon the dissolution of the partnership?
• What triggers dissolution of the partnership?
Does sale or death of the subject horse result
in automatic dissolution or is a replacement
horse to be acquired?
• Will the horse ever be sold, and how is the
decision to sell made?
• Do the partners have an option to buy out
one another?
• How are proceeds and earnings disbursed?
• Will the partnership take out insurance?
• How will notice be served on the partne