Horse Ownership & Partnership Terms
Important terms for claiming, purchasing, owning, and racing horses in partnership with Lawrence Racing Stables.
Important Ownership Notice
Horse ownership and racing partnerships involve financial risk. By entering into an ownership or partnership arrangement with Lawrence Racing Stables, the partner acknowledges that all costs, risks, potential earnings, and responsibilities must be clearly understood and agreed to in writing.
Partnership terms may vary depending on the horse, purchase price, claiming price, ownership percentage, and racing plan.
Horse Ownership & Partnership Terms
1. Partnership Structure
Lawrence Racing Stables may offer partnership opportunities for claiming or purchasing racehorses to train and race. Each partnership arrangement must be agreed to in writing and may vary based on the horse, ownership percentage, purchase price, claiming price, and racing plan.
2. Ownership Percentage
Ownership percentages will be stated in writing before the horse is claimed or purchased. Common arrangements may include 50/50 ownership, but percentages may vary by agreement.
3. Claiming or Purchase Costs
The claiming price, purchase price, sales fees, transfer fees, registration costs, and any other acquisition-related expenses shall be shared according to each partner’s ownership percentage unless otherwise agreed in writing.
4. Ongoing Expense Responsibility
All ongoing expenses, including but not limited to training, boarding, veterinary care, farrier services, supplements, medications, race entry fees, transportation, and related care expenses, shall be shared according to each partner’s ownership percentage.
5. Earnings & Distributions
Any net earnings, including purse winnings, bonuses, or sale proceeds, shall be distributed according to each partner’s ownership percentage after deduction of applicable expenses, fees, commissions, and outstanding balances.
6. No Guarantee of Earnings or Performance
Lawrence Racing Stables makes no guarantee regarding racing performance, purse earnings, future value, soundness, claimability, resale value, or racing success of any horse.
7. Decision Making
Major decisions, including claiming, purchasing, selling, retiring, entering races, changing ownership structure, or making significant veterinary decisions, should be made jointly unless otherwise agreed in writing. Lawrence Racing Stables may make day-to-day training, care, and racing management decisions based on professional judgment.
8. Veterinary Care & Emergency Decisions
If urgent veterinary care is needed and a partner cannot be reached, Lawrence Racing Stables may authorize reasonable emergency care in the best interest of the horse. Each partner remains responsible for their share of all veterinary expenses.
9. Risk of Loss
Each partner assumes risk according to their ownership percentage, including injury, illness, death, loss of value, poor performance, or inability to race. Horse racing and ownership involve inherent financial and equine risks.
10. Payment Requirements
Partners are responsible for timely payment of their share of all expenses. Invoices are due within 15 days unless otherwise agreed in writing. Late fees, service suspension, collection action, or other remedies may apply to unpaid balances.
11. Non-Payment by Partner
If a partner fails to pay their share of expenses, Lawrence Racing Stables may apply any unpaid amounts against that partner’s share of earnings or proceeds. Continued non-payment may result in suspension of ownership privileges, collection action, or adjustment/forfeiture of ownership interest as permitted by law and written agreement.
12. Sale, Buyout, or Dissolution
A partnership may be ended through sale of the horse, buyout by one partner, mutual written agreement, or other written terms agreed upon by the parties. Sale proceeds shall be distributed according to ownership percentage after payment of outstanding expenses and fees.
13. Liability & Indemnification
Each partner agrees to hold Lawrence Racing Stables harmless from claims, losses, or expenses arising from the inherent risks of horse ownership, training, racing, transport, or care, except where prohibited by law.
14. Governing Law
These terms shall be governed by the laws of the State of Arizona unless otherwise stated in a written partnership agreement.
Example: 50/50 Partnership
In a 50/50 partnership, Lawrence Racing Stables and the partner generally share ownership, expenses, and net earnings equally unless otherwise agreed in writing.
This means each party may be responsible for 50% of purchase or claiming costs, training, boarding, veterinary care, transportation, race fees, and other approved expenses. Net purse earnings or sale proceeds are generally split 50/50 after expenses, fees, and outstanding balances are paid.
Final terms should always be confirmed in a written partnership agreement before the horse is claimed or purchased.
Required Before Entering a Partnership
- Horse name and identifying information
- Ownership percentage
- Claiming or purchase price
- Expense split
- Earnings split
- Decision-making terms
- Payment responsibility
- Exit, sale, or buyout terms
- Signed written agreement
Interested in Racehorse Ownership?
Contact Lawrence Racing Stables to discuss claiming, purchasing, or partnering on a racehorse. We’ll walk you through the process, expected costs, ownership responsibilities, and next steps.