There are important things about purchase contract that you should know when buying a horse. You should be aware of what a purchase contact must contain and what your legal rights are.
First, you must understand that when you purchase a horse, you buy it as is. Meaning, the duty to examine the horse prior to the purchase is on you. You cannot sue the seller for any defects gone unnoticed and found after the purchase. However, the as is nature of the transaction can change for the following reasons and situations.
1. If the seller breached the written contract.
Keep everything that has something to do with the horse you are buying in a written contract. If you get a Bill of Sale, be sure that the information is complete. These information should be the name, age, breed, color and sex of the horse as well as other distinguishing factors.
You can only sue the seller if the breach is material or if any of the elements stated in the contract is untrue. For example, you found out that the age of the horse when you bought it was a lot older than what the contract said. This is a cause for legal action because the lifespan of the horse is a lot lesser than you expected.
However, not all breach is material. For example, the Bill of Sale stated that the horse was 6 years old when you bought it when in fact it was only 5 years old. In such case, the law might not find you damaged.
2. If you can prove that the seller made an intentional misrepresentation
A written contract can be overcome if you can prove that the seller engaged in fraud. This can be very difficult because you will have to prove that the seller made an intentional misrepresentation designed to make you buy the horse.
For example, the seller told you when you bought the horse that it is healthy and sound. And then you found out later that the horse has a disease before you bought it. However, it will be difficult to prove that the seller is aware of the disease.
3. If the seller published a false advertisement.
If the seller published an advertisement which contains specific statements that could be interpreted as part of the bargain, you can have recourse.
For example, the ad said that the horse do not have vices. But immediately after purchasing the horse, you found out that the horse cribs or chews wood. This is clearly an example of vice that the ad states the horse does not have.
4. If the seller has a higher, definite obligation to you.
You may have recourse if the seller is also your instructor. This is because as an instructor, he or she has an affirmative duty to help you buy the right horse above and beyond the normal sellers contractual obligations.
5. If the seller is governed by the UCC
If the seller is a merchant, he or she is governed by UCC or Uniform Commercial Code. The Uniform Commercial Code the governing policy of the sales of goods from merchants. The seller can be considered as merchant if he or she makes a regular income with horse transactions.
If the seller is a merchant, the transaction must come with merchantability and fitness for a particular purpose. These two are implied warranties that come with the purchase of horse. Regardless of the contract, the horse must be reasonably sound and healthy, and suited to its purpose. But this can only be excepted if done so in writing.
Therefore, in buying a horse, get as much as you can in writing. It is a buyer beware situation, so do not lose your head.
Posted under Horses
This post was written by Pat Brooks on June 8, 2009
