Selling a horse might initially seem like a straightforward process: post an advert; find a buyer; agree a price and receive payment. In reality, sellers have a lot of legal obligations that many people are not aware of until a dispute arises.
Whether you are selling a much-loved family horse, or run a sales yard, understanding your legal position before you advertise the horse can save you significant time, money and stress later. This article sets out what sellers need to know to protect themselves under English law.
If you are purchasing rather than selling, you may also find our guide on buying a horse helpful.
The Legal Status of a Horse Under English Law
As set out in our guide on buying a horse, a horse is legally classified as “goods”. This means that the same legal framework that applies to selling a car or a television also applies to selling a horse. The obligations you carry as a seller and the protections available to a buyer depend on whether you are selling privately or in the course of business.
Selling as a Business
If you sell horses in the course of a business, whether you are running a sales yard or are a professional rider or breeder regularly selling, where you are selling to an individual your sale is likely to be governed by the Consumer Rights Act 2015. Under this legislation, any horse you sell should be:
- Of satisfactory quality: healthy and sound, unless you have specifically drawn any defects to the buyer’s attention before the sale.
- Fit for purpose: if the buyer tells you that they need a horse for a specific purpose, such as for showjumping, and you sell them a horse that cannot jump, you may be in breach of contract.
- As described: the horse must match what you said about it in the advertisement or in conversation.
If these standards are not met, the buyer may have a short-term right to reject the horse, usually within 30 days, and request a full refund. Accuracy in how you advertise and describe the horse therefore matters.
It is also important to confirm whether you are selling the horse in your own right or on behalf of a client to avoid any confusion down the line.
Selling Privately
If you are selling your own horse privately as an individual, the position is different. The principle of caveat emptor applies, meaning “buyer beware” and the buyer has fewer protections. Whilst a private seller may not have the same obligations as someone selling horses in the course of business, the horse must match the description given. If a question is asked by the buyer you must not give a false answer, or an untrue description of the horse otherwise you could be open to a claim for misrepresenting the horse.
Horse Sale Agreements: Why Getting It in Writing Matters
Many horse sales still take place based on a verbal agreement or a handwritten receipt, even when significant sums are involved. A written agreement protects you as the seller just as much as it protects the buyer. It also gives both parties a clear reference point if a dispute arises later.
From a seller’s perspective some of the key matters to be included in a sale agreement should be as follows:
- Detailed identification: the horse’s registered name, UELN, microchip number, age, height and markings.
- Vices: disclosure of any vices or other matters which have been disclosed (such as historic veterinary treatments) in relation to the horse being sold should be included in a schedule to the agreement.
- Purchase price and payment terms: the amount agreed, how and when it will be paid, whether a deposit has been taken and in what circumstances (if any) it will be returned to the buyer.
- Pre-purchase examination: whether the buyer has had, or has waived, the opportunity to arrange a vetting by a veterinary surgeon of their own choosing, and what has been agreed if the examination raises material findings.
- Entire agreement: a clause which, to the extent permitted by law, limits the circumstances in which a buyer can bring a claim based on statements made during negotiation.
Pre-Purchase Examinations and Your Position as a Seller
Encouraging an independent pre-purchase examination can protect you as the seller as much as the buyer. A vetting carried out by the buyer’s chosen veterinary surgeon at the time of the horse sale may provide useful evidence of the horse’s condition at that point, should a dispute arise later.
For the reasons above, as a seller it is likely in your interest for a buyer to arrange a vetting. A buyer should be permitted to instruct their own independent vet, rather than your vet. If a buyer chooses to rely on an old vetting certificate rather than commissioning a new examination, make sure that your position and the buyer’s decision is covered in the sale agreement.
Practical Tips for Selling a Horse
- Accurate Description: do not embellish the horse’s ability, temperament or history to make the sale happen.
- Answer Honestly: respond in writing where possible, so there is a clear record of what has been disclosed.
- Independent Vetting: enable a buyer to get their own independent vetting and avoid steering them towards using your own vet.
- Written Agreement: make sure you have a written sale agreement, even for straightforward transactions.
- Ownership Records: make sure you sign and hand over the Change of Ownership Certificate (if any) required to be submitted with a change of ownership application to the relevant Passport Issuing Authority.
Seek Legal Advice to Reduce the Risks of a Horse Sale
Selling a horse can carry more legal exposure than sellers expect, particularly where the sale occurs in the course of business or where a buyer raises concerns after purchasing the horse. Getting your horse sale agreement right from the outset is one of the most effective ways to protect your position.
If you are preparing to sell a horse, need help drafting a horse sale agreement or are already dealing with a dispute, our Equestrian Law team can support you before, during and after the process. Where disagreements arise after completion, our Dispute Resolution specialists can help with resolving horse sale disputes efficiently and cost-effectively.
We publish blogs and social media posts to provide a general overview of legal and commercial issues relevant at the time of publication, which we hope you will find interesting. Please note that the application of legal rules often depends on the specific facts of a situation. The law also changes over time following changes in legislation or new court decisions. We do not actively update our blogs or posts after publication to reflect changes in the law.
As such, our blogs and posts are not intended to advise you on the law and must not be relied upon as legal advice. If you require advice on a particular issue, please contact us and we will be pleased to help.