Whether a livery has removed the horse and their equipment but failed to pay or has both defaulted on payments and abandoned their horse in your livery yard, there are several options available to you to remove the horse and claim your money back.
What can I do to protect myself before entering into livery agreements?
It is always better to pre-empt the situation rather than being left in a situation where customers are failing to pay.
Having a livery agreement in place that has been drafted by an equine law solicitor will help to outline the terms of agreement between the parties and what will happen if the livery defaults on payment. The agreement can also clearly state when payments are due and ask for the first payment in advance or a returnable deposit. You can also use a livery agreement to clearly state what is and isn’t provided by the livery yard so there is no confusion.
Before entering a livery agreement, it is also worth making sure you know who the owner of the horse is. Ideally, you should consider carrying out credit checks on customers to ensure they can pay.
What can I do if a livery starts to default on payments?
If you notice that a livery is having trouble making payments, then talk to them as soon as possible before the debt mounts up and see whether you can reach a resolution.
If a resolution cannot be reached then give the livery a notice period in which to remove their horse and equipment, which should be covered in your livery agreement. If the debt is still outstanding once the livery has removed their equipment and horse, then you can start court proceedings for the recovery of the unpaid debt.
A livery has defaulted on payments and their horse and equipment are still on my property-what are my options?
If the horse and equipment are still in your livery yard when the notice period expires then the livery will be considered to be trespassing and you have a few options to remove the horse including:
- Removing the horse pursuant to the terms set out in a livery agreement with the customer.
- Instructing a horse bailiff to remove the horse.
- Detaining and disposing of the horse under the Control of Horses Act 2015.
- Issuing court proceedings to obtain an injunction that requires the livery to remove their horse.
- Selling the horse and any equipment under section 12 of the Torts (Interference with Goods Act) 1977 where you require funds for the monies owed.
As set out above, you might also be able to hold a lien over the debtor’s horse until the livery yard fees are paid, however the right of a lien would need to be specifically included in your livery agreement with the horse owner as in the absence of a livery agreement the law does not imply the right of a lien into any agreement between you and the owner of the horse.
If the horse and equipment have been abandoned, then as the livery yard owner you will need to be responsible for the welfare of the horse to ensure you are not prosecuted. DEFRA has produced a useful code of practice for the welfare of horses and ponies – the Court may make reference to this code when deciding whether you have committed an offence as the livery yard owner.
If you need further advice on chasing livery yard payments from livery customers, please contact our Equine Law team on 03456 465 465 or email enquiries@rotherabray.co.uk
Disclaimer: This blog is for information only and does not constitute legal advice. If you need legal advice please contact us on 03456 465 465 or email enquiries@rotherabray.co.uk to get tailored advice specific to your circumstances from our qualified lawyers