do i need a loan agreement?

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millyspaniel

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My pony is going tomorrow on loan for up to 1 year or maybe more - the person is well known in the area, although i do not know her personally i have horsey friends who do and they have assured me he will be getting a great home, hes going about 5 mile away so still local. He is going with his tack (which is old anyway) and a few bits ie his head collar etc.....do i really need a loan agreement??
 
Yes. There is one you can download and amend on the BHS website to suit your pony's needs etc - if tack is going with the pony, put all this in the loan agreement. Vet the person, go and look around the yard where the pony will be going, meet the YO/YM etc. Check on pony regularly.
 
you want it signed when before she takes the pony but if it is like most loan contracts you should have a 2 week grace period anyways so if you cant get her to sign it till tomorrow than that shouldnt be too much of a problem - so long as you trust her! And you can do it yourself, just make sure you have witnesses that also sign when you both sign
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you can find it here:
http://www.bhs.org.uk/Horse_Care/Horse_Care_Advice/Publications/Download.aspx
click on the sample loan agreement

It shows you in bold which bits to change. Make sure you detail all tack, and it's a good idea to take photos of tack and the horse to attach to the agreement. Current advice is that you should also add a bit that says the loaner is not allowed to sell the horse too
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Yes you should. It ensures both parties understand exactly what their responsibilities are, what happens if pony needs veterinary treatment/euthanasia, etc.

I've always used an amended version of the BHS agreement when loaning out, and just did it myself without using a solicitor.
 
I've had two horses on loan, and used the BHS agreement both times without involving a solicitor (although i did ask my best friend who is a solicitor to look through the contract the first time). As long as you thrash out the clauses to cover everything with regard to your personal circumstances, you should be fine.

If you know of this person, or know people who know her, that seems like a good start. At least you aren't sending her off to a total stranger. I would get some personal ID from her as well - i gave Ella's owner a copy of my passport and my council tax bill, so that she knew i was a real person, and that i lived at a real verifiable address.
 
Definitely get a signed loan agreement, you really can't be too careful.

You don't need a solicitor at all, but do ammend the standard BHS agreement to suit you both.

The important thing for you both is that the agreement accurately reflects what you both expect from the agreement and what should happen if anything goes wrong or if the agreement is terminated. These are the times when you really need evidence of what was agreed - a witnessed loan agreement is precisely that!

Think about how the agreement is terminated, is it fixed term, can it be terminated by notice, can it be extended, are there penalties for early termination, can it be terminated unilaterally?

Think about what happens if the horse is ill, or unrideable, or needs to be put down, what about emergencies?

Think about levels of insurance and who is responsible for this.

Think about getting your kit returned afterwards, what if it is damaged?

Hope that helps
 
A number of horses disappear each year while out on loan nevert to be seen again.

Ensure that the horse that is going to be put on loan is both freezemarked on the shoulder (so that it can be seen when ridden) and also micro-chipped with the latest European Standard micro-chip.

You can use the BHS loan agreament as a basis for your loan agreament and ammend it accordingly but get a solicitor to check it out so that it will stand up in court.

Ensure that you have two copies of the loan agreament and that each copy is signed and dated by both parties. Each party should keep a copy.

Also ask to see an original copy of the passport, driving licence and rates bill of the person loaning the horse and photocopy them to ensure that you know their true identity and where they live.

Always inspect the yard where they intend keeping the horse.
 
Loan agreements are not just about trusting people- you may be absolutely sure that she will not sell your horse on to someone else or move her to the other end of the country but there are plenty of other factors to think about which are not related to trust- you need to be clear about who has what responsibilities in any unexpected situations, what she is and is not allowed to do with regard to moving the pony or getting a sharer for example- you could both have completely different views about what is or is not acceptable but that does not make someone untrustworthy.
 
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