One of my favorite areas of practice is my equine law specialty. No, I am not just horsing around!
Since 1977, my family has owned and raced thoroughbred horses. We have been fortunate enough to race horses throughout North America and presently run horses at Aqueduct. We have raced at tracks from Oaklawn Park to Woodbine in Toronto. We have raced most frequently in the New York circuit. It is a wonderful experience and nothing is quite as thrilling as watching your horse running down the stretch going for the finish line. The question is whether a horse needs a lawyer?
No, the horse doesn’t need a lawyer, but others certainly do. I represent owners with respect to setting up the legal entities that make sense for their needs There needs to be agreements by and between the partners. There needs to be corporate resolutions in order to establish the business entity properly. Remember, while horse racing is a sport, and can be a lot of fun, the ownership of horses is intended to be a business.
If the business is successful, then tax issues are at play. Income taxes, sales tax, and other tax issues are continuously changing and need to be evaluated. The stimulus bill just signed by President Obama has created excellent tax advantages for horse ownership including depreciation of up to $250,000 for horses put into service during 2009. Sales tax issues can be reviewed and assessed dependent upon the state where a sale takes place.
Should a horse become extremely successful, there are additional legal issues to look at. These center around stallion syndication and arrangement of stallion servicing. Negotiating arrangements with the various farms where the stallion is to stand is necessary. Drafting agreements between the owner of the stallions and the owners of the mares is also required.
The racing side also has its need for equine attorneys. Licensing issues for owners, trainers and jockeys are an integral part of equine representation. Should a trainer or jockey have to serve a suspension, quality representation is necessary to protect their rights. Negotiation with the State Racing and Wagering Board can keep a trainer or jockey from having to serve a suspension and therefore keep the trainer or jockey from losing necessary income. Should a hearing be necessary, the lawyer can conduct the examination of witnesses and effectively represent a trainer, owner or jockey in front of the Board.
Horse racing is a thrilling sport. Proper assistance can make sure you remain in the game for the long haul.