BHS Loan Agreement - From Loaner's Perspective?

[Silmarillion]

I've had a bit of a search on here and google, but I can't seem to find any comments on the BHS loan agreement from the loaner's perspective - only the owner's. I know my only real risk loaning a horse is if the owner goes AWOL or refuses to keep up their end of the bargain (horse has issues which she will pay vet's fees for) but I wanted to make sure I am actually going to be adequately covered by this agreement. Our verbal and email agreement so far isn't too complex, so I see no reason why not to be happy with the standard template filled in to fit our circumstances, but I wondered if there was anything I should bear in mind?

Thanks (and pics of new boy to follow when he arrives!)

 

[Silmarillion]

Any thoughts, anyone?

 

[mirage]

I'm not sure how I can help,as each case is individual,but we have loaned using the BHS agreement 3 times and had no issues.We amended the template by mutual consent for each pony,ie, must be shod at x weeks,must not be driven,not to be hunted ect.For my part,I was happy to allow access for the owners at any time,as they are kept at home,and I did not allow anyone else other than my children to ride them unless I had the owner's permission.I also sent a copy of the insurance policy for our latest pony,to his owner so she knew he was covered.

 

[Product of my youth]

I have my welsh boy out on loan and modified the BHS loan contract to suit, however I don't feel it's really legally binding. The most important think with a loan is that you enter into it with a person you have already assessed to be reliable and honest then it's a useful reference guide should any untoward circumstances occur.

However I do feel the key is to select the right loaner/loanee from the outset and to have a frank discussions upfront regarding vet bills etc.

 

[Silmarillion]

Thanks for the replies, it's helped to stop my worrying! The owner is a friend of a friend so we have connections, and also seems genuine and sensible about the whole thing. I was just worried as you hear of so many "loan disasters" but only ever really from the owner's perspective. If there's nothing specific for me to bear on mind then I'll go into this cautiously but also committed - there's not a lot else I can do!

Thanks

 

[Spottyappy]

I have been on both sides of loaning.
The one thing I have added to try to protect my borrower is a first refusal if we decided to sell the pony in the future.

 

[nclem]

Hello, I'm currently loaning my second horse and used the BHS agreement as template both times. I think it works well as you can always ask for something to be put in - just make sure it has the agreed term and notice period for both sides, also I'd recommend putting who covers cost for when horse returns (that may be in already). We didn't add too much apart from specifics such as what he came with etc but the nice thing is its a template so you can add anything that is agreed by both sides - maybe have a think of possible scenarios before your final draft in case you think of anything else you may need to add.
Hope that helps a little
Good luck - look forward to hearing what your new boy's like

 

[Penumbra]

Unfortunately, I don't think there's much that can protect you from an owner disappearing.

I think the fact the owner is happy to have everything written down in detail shows that they are being truthful about the horse, and that they want this sort of agreement is probably a good sign.

I think the reason you hear more about loan disasters is that people rarely post threads saying "my loan is going so well". They are more likely to post for help and advice if something has gone wrong. I am sure if you posted asking for positive loan stories loads of people would come forward. In real life, people are probably also more likely to discuss when something has gone wrong as it's more interesting.

I know a couple of people loaning horses successfully and a few loaning horses out successfully too. I don't know anyone who has had problems so far, if that makes you feel a bit better about things?

 

[Silmarillion]

Thanks for the replies, guys. I think we've added all the extra little bits mentioned, and the owner is certainly as keen as I am to get everything down in writing. It's just new territory for me - thanks for the reassurances!

 

[cptrayes]

Bearing in mind some of the stories we get on this forum, I would not loan a horse without a clause that gives me the right to sell the horse (and keep livery vet and selling costs out of the proceeds) or have it put down if the owner does not take the horse back within 30 days of you cancelling the contract.

 

[FestiveFuzz]

I would make sure the contract states what the owner is paying for (as you mentioned an ongoing health issue that they will continue to pay for in your OP) and also make sure there is a list of everything the horse is coming with and the condition it's in.

It might also be worth the owner keeping their existing insurance going (assuming the above issue is covered) and you just pay them the premium each month as if you take out insurance it'll be classed as a pre-existing condition which could make things costly.