Lease agreements

The guy who was supposed to buy Pep couldn't come up with the money, so now he wants to lease him. Anybody have any insights on how this will work with a stud? I understand that with a lease through the AQHA, he can sign all but a sales transfer for him.

It's my understanding that the AQHA lease is only for Novice classes. And you can't show a stud in novice.

Reiningfan, you are right about the AQHA lease. He would not be able to show him in am though.. He can show him open, stand him and everything but show in amateure.

If this was my horse I would not lease him. People do not always take good care of them. A good example of that is what Kidd went through with her filly. I have no idea what you are asking for him. If he cannot afford to buy him he may not afford all the other care he will need. Many times this does not go well and you get back a sick and lame horse you will never get a dime for and no one wants.

Leases on studs also come with other major problems when they breed other mares and do not take care of the paper work. They can destroy a horses reputation and make you look bad. I sold a mare on contract and the gal bred her to a stallion that was on lease. She could not pay for the mare and sent her back bred with no problems of getting a breeding cert when she foaled. The man with the stud would not give me a breeding cert. I had to give the filly back to the woman who bred the mare after several thousand in vet bills on her. I called the people who actualy owned the stud. They had no rights to him since he was leased and could do nothing..

If this was my horse I would get him home if he is not already and give the man a chance to come up with the money. You can give him a time frame to pay for him while he is still in your care. If he cannot do that I would advertise the horse for sale and not let him off the farm until paid for. These things even go bad between friends.. I would not do it..

He's been there for about 4 months, and looks fabulous. What we were gonna do is just maake a trade, he trains Pep, but instead of being paid gets to breed his mares to him, plus with a lease, any winnings from NRHA will go to him, as he's the one shelling out for entries and such. I would rather not do a lease, but since Wade is the one that foots the bills and he is the one who agreed to doing the lease, I can't really say no now. But I will still be breeding some of my mares to Pep, plus I go check on him whenever I'm in the area.

Not all leases go bad. Just keep an eye on him and make sure everything is in writing.. You cannot break an AQHA lease so may want to not leave it real wide open. The breeding part would likely be where you get in to trouble. But, that is not to say that will happen either..

OK, so when you say that an AQHA lease is unbreakable, how would that apply if we got an offer on him? And the trainer is talking about us selling Pep at the futurity next year. He was telling Wade how much he figures we should get for him. From what I looked up, the price would be nowhere near what he's trying to tell us.

I am not sure about a sale on a leased animal. All I know is when you sign an AQHA lease you have from this date to that date. You might call them and ask.. You may not be able to sell if there is a lease on him. Also, if he just wants to sell him why does he want a lease on him?

He says he wants to lease him so that he'll get any winnings. Otherwise any time he got a check for NRHA winnings, it would be made out to Wade and I. Also cause he wants to breed mares to him. I just heard a rumor that he's trying to sell breedings for next year already. He was actually trying to raise the money to buy him by pre-selling the breedings. Wade was NOT impressed when he heard that. Cause if the sale had fell through, we'd have looked bad if we didn't honor the breedings. One would hope that he'd return the money or give it to us, but you never know. There are a million ways for this to go bad by the looks of things, but Wade is now calling the shots on this one.

HUM Not good. Sounds like he has over stepped the boundries. And, he has no right to sell breedings or do anything with the horse.. Plus, he did talk about selling the horse and does not even own him.. He could get you tied up in some really bad legal things..

So, I talked to the AQHA and found out that they won't honor a transfer of ownership unless the sale is to the leasee, or the leasee signs off on the lease. Turns out you can break a lease, but only with signatures of both the owner and the leasee.
I'm liking this idea less and less. I generally find the guy trustworthy, otherwise my horse wouldn't be there in the first place, but something just isn't sounding right here.

You are right that there is some thing not on the up and up. Sounds very risky to me..