Stallion syndications are contractual agreements where multiple parties combine their financial resources to purchase a stallion for breeding purposes. Each contributor or "owner" owns a "fractional interest" in the stallion, typically entitling them to one breeding right per breeding season. The farm or individual syndicating the stallion will generally retain multiple fractional interests. The arrangement provides for lowered costs and a more diverse breeding for the stallion.
This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
A North Dakota Horse or Stallion Syndication Agreement is a legal contract entered into by multiple parties to jointly own and manage a horse or stallion for breeding or racing purposes. This agreement outlines the terms and conditions under which the syndicate operates, including ownership shares, financial responsibilities, breeding rights, racing decisions, and other pertinent details. The syndication agreement provides a framework for individuals to pool their resources and expertise in order to collectively invest in a valuable horse or stallion. It allows for the cost-sharing of the purchase price, as well as the ongoing expenses related to the horse's care, training, and maintenance. In North Dakota, there are a few different types of Horse or Stallion Syndication Agreements that individuals can enter into, depending on their specific objectives and preferences. Some common types include: 1. Breeding Syndication Agreement: This type of agreement focuses primarily on the breeding aspect of the horse or stallion. It outlines the terms for shareholders to access the stallion for breeding purposes, including the number of breeding shares allocated to each shareholder and the associated fees or charges. The agreement may also specify any restrictions or limitations on breeding activities, as well as the sharing of resulting foal revenues or expenses. 2. Racing Syndication Agreement: This agreement emphasizes the racing aspect of the horse or stallion. It typically outlines the decision-making process for entering the horse in races, selecting trainers and jockeys, determining race schedules, and managing racing-related expenses. Shareholders may also have the opportunity to participate in race-day activities and share in any winnings or earnings generated by the horse. 3. Joint Ownership Agreement: This type of agreement allows for joint ownership of a horse or stallion for various purposes, including breeding and racing. The agreement spells out the rights, responsibilities, and financial contributions of each co-owner, as well as arrangements for decision-making and profit-sharing. Joint ownership agreements are often more flexible and allow shareholders to participate in multiple aspects of the horse's management. Regardless of the specific type, a North Dakota Horse or Stallion Syndication Agreement should cover essential elements such as the duration of the syndicate, the method for determining the horse's value, dispute resolution mechanisms, insurance requirements, and exit strategies for shareholders. It is crucial for all parties involved to carefully review and negotiate the terms of the agreement to ensure clarity, fairness, and compliance with relevant state laws and regulations.
