Page 44 - Chow LIfe - 2019 03 Fall_Neat
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Stud Contracts




                                                    By Lisa M. Curry, Esq.




          When planning a breeding, most breeders never        quences if it is not paid on time. Merely indicating
          think about the legal issues that can become quite   the fee must be paid before the litter is registered
          problematic—not to mention expensive. Trouble        often suffices to ensure payment. Note that, pursuant
          begins when a boilerplate contract is used and one   to Chapter 3, Section 6 of the Rules Applying to Reg-
          or both parties ignore certain clauses or make oral,   istration and Discipline, if the contract gives the stud
          undocumented changes to the agreement as they go     owner the right to refuse to sign a litter registration
          along. The better practice is to decide beforehand   application until certain provisions are met, the AKC
          what the parties truly expect of each other, and to   will refuse to process the application until all parties
          draft a specific contract for each individual situation.  have reached agreement.  If the stud owner is to get a
                                                               pick of the litter, the contract language should specify
                                                               who makes the selection, at what age, and when the
          Who Are the Parties?                                 stud owner takes possession of the pup. If there are
                                                               multiple stud owners, specify the one person who
          AKC regulations require only one stud owner to sign   gets to select and take possession of the pick puppy.
          the AKC litter registration.  But what if there are   The contract should state that no puppies will be sold
          co-owners who object to the breeding? The AKC re-    before the stud owner makes her pick (if she gets
          quires a stud owner—any one owner, the AKC does      first pick), and that the puppies will be available for
          not differentiate among co-owners—to certify that a   inspection at a reasonable time. A remedy, such as
          stud has bred a dam; once that is done, the AKC will   a monetary penalty, should be specified should the
          maintain the breeding. It is easy to imagine some of   bitch owner not comply. (Perhaps the stud owner
          the difficulties that might arise in such a case. (This   will not sign off on the litter registration until she
          is just another example of why the AKC opposes co-   has possession of her pick.) Trying to get a puppy
          ownership in general; see “Co-ownership Contracts:   back from an innocent family to whom it was sold
          When Two’s a Crowd,” GAZETTE, October 2007.)         will surely be difficult. Money, if you can get it, will
                                                               be your most likely remedy.  One stud owner inter-
                                                               viewed for this column had contracted for a puppy
          Inserting an indemnity clause in a stud contract (as   back as her stud fee. When the pups reached 8 weeks,
          in other dog contracts) can be very helpful. In this   as agreed, she asked to come select her pick puppy
          clause, the parties agree who will pay the monetary   but was repeatedly told it was “not a convenient
          cost of any damages that may occur. For example,     time.” Weeks later, when she was finally allowed to
          each party may represent that she has the legal right   visit, there was only one left: The bitch owner had
          to enter into the contract, and that she will reimburse   sold all the others.  The stronger and more specific
          the other parties in an amount no less than X dollars,   the clause—and remedy—that a stud owner can put
          and pay the others’ attorney fees, should they rely   into the contract to avoid such a scenario, the better.
          on that representation to their detriment. Stating the
          minimum dollar amount of damages, should they
          occur, is helpful for its deterrent effect—making the         A carefully drafted stud
          minimum damages known from the outset—and for
          eliminating the need to prove the monetary amount             contract helps assure a
          of damages if the contract is breached.  This gives           problem free outcome
          peace of mind and helps lessen unforeseen risks.              for all involved.


          The Stud Fee and Other Considertions
                                                               The contract also should state all other fees the stud
                 The stud fee is often paid in several install-  owner can charge—daily boarding fees, transporta-
                 ments. The contract should specify the date by  tion, grooming, and so on—and should state which
                 which the entire fee is due and detail conse-  party will be responsible for costs if the bitch re-
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