If you board, breed, race, train, give riding lessons or conduct any kind of business-related equine activity, I highly recommend that you consider a Commercial Equine Liability policy.
Homeowner’s and standard Farm & Ranch insurance policies completely exclude your equine business pursuits.
Commercial liability insurance pays the damages for liability imposed upon you or your
Care, Custody & Control insurance is meant to cover people who board or train horses or are otherwise responsible for other people’s horses while breeding, showing, or racing them. The policy pays sums you are legally obligated to pay to others for death, injury or theft of horses in your care, custody, or control.
Example: a boarder’s horse
In yesterday’s post, we talked about the Private Horseowner’s Liability policy and discussed the ways it might cover a horse owner for liability claims that are not covered by a basic farm and ranch policy. Does that mean that holders of PHO policies do not need a farm and ranch policy? Not necessarily.
A basic farm
Many lawsuits involving horses can be avoided altogether if the right insurance policy is in place. Or, if a lawsuit cannot be avoided, a horse owner with the right insurance policy does not have to rack up $75k plus getting their case to trial and face a potential judgment of thousands or millions of dollars.
**List of available counties updated 11-15-10**
I have recently, with the help of my assistant (and soon-to-be law student) Christina Heddesheimer, taken on the monumental task of compiling the local stock laws for all 254 Texas counties.
Oh, and when I say with the "help" of Christina, I mean that Christina is doing all of heavy lifting and all of the county-by-county research. Her work has been invaluable.
We are so grateful to the many people who have taken time to assist us in this research project in over 100 Texas counties so far. Thank you, Texas county officials!
This project takes extraordinary persistence, hours and hours of time, and lots of patience. And money. It’s probably for these reasons that no other lawyer or organization has ever, in the history of the State of Texas, compiled all the stock laws in one place. Until now….
So, why is this project so monumental, you ask? As discussed in an earlier post, the default rule in Texas is that livestock may roam freely in Texas ("open range") . The only state-wide exception is a prohibition of open range grazing/roaming on interstate and state highway right-of-ways. Pursuant to the Texas Agriculture Code and its predecessors, counties have the right to hold one or more elections to restrict the free roaming of livestock. The individual elections can include one or more species (such as cattle, horses, mules, hogs, sheep and goats), and the elections can be held for the whole county or part(s) of each county.
These laws are very difficult to find as they are only located in the commissioner’s court minutes of each individual county. The dates these laws were enacted range from the 1800s to now.
The stock laws are important because they often determine who is liable when, for example, a motorist collides with a horse on a farm-to-market road, or a horse gets loose and destroys someone else’s property.
So far, we have obtained the stock law status of 234 Texas counties, and we continue to receive more updates daily. We will periodically post updates as we gather more information from more counties. For each of the following counties, we currently either have a copy of the stock law, or we have a confirmation that the county is open range:
A gentleman recently told me that his stallion had gotten loose, gone onto his neighbor’s unfenced property, and "worried" the neighbor’s mares. The neighbor shot at the stallion with a shotgun, and stated that the police told him he was justified in doing so because the stallion was "trespassing on his property."
Is the stallion owner liable for property damage or injury to persons caused by his stallion? Generally speaking, not unless the stallion owner knowingly let the stallion roam free.
Important to this analysis is that Texas is, generally speaking, still an open range state. That is–livestock may still roam at large in Texas with two exceptions:
As expressly provided by the Code, some counties in Texas have enacted county wide stock laws, yet others have chosen to elect stock laws only in certain precincts or areas within said county. Unfortunately, there is no statewide index that traces the counties or areas where stock laws have been passed.
Continue Reading Is a Horseowner Liable for Damages if a Horse Gets Loose?
"Absolute insurer rules" and "trainer liability rules," common in horse racing and other equine sports, presume that trainers are responsible when their horses test positive for illegal substances. In effect, the rules make trainers guilty unless proven innocent.
The effect of this presumption is to shift the burden of proof from the governing body to the trainer, who must prove innocence by showing that he or she did not negligently administer a prohibited substance to the horse or did not negligently allow someone else to interfere with the horse. These rules can result in the imposition of a penalty against the trainer and/or the horse’s owner without actual proof of guilt.
Courts have uniformly upheld the absolute insurer rules, despite the fact that they appear to violate the due process of law.Continue Reading Race Horse Trainers “Guilty Until Proven Innocent”