Racing Australia Co Owners Agreement

If you are planning to co-own a racehorse in Australia, it is important to have a clear and detailed co-owners agreement in place. This agreement will help you and your co-owners to navigate any potential disagreements and ensure that the horse is managed and raced in a fair and efficient manner.

Here are some key points to consider when drafting a co-owners agreement for a racehorse in Australia:

1. Ownership structure: One of the first things to decide as co-owners is how the horse will be owned and managed. Will it be a partnership, a syndicate, or a company? Each structure has its own legal and tax implications, so it is important to seek professional advice before making a decision.

2. Decision-making process: It is important to have a clear decision-making process in place for important matters such as choosing a trainer, entering races, and making major decisions about the horse`s health and wellbeing. This could involve a voting system or appointing a designated decision-maker.

3. Financial arrangements: Co-owners will need to agree on how the costs of owning and racing the horse will be shared, and how any prize money or other income will be distributed. This should be clearly outlined in the co-owners agreement.

4. Training and racing arrangements: Co-owners will need to agree on which trainer will be responsible for the horse`s training and how often the horse will race. This should also include guidelines for race selection and jockey choice.

5. Termination of agreement: It is important to include provisions for what will happen if one co-owner wants to sell their share of the horse or if the agreement needs to be terminated for any other reason.

It is important to seek legal advice when drafting a co-owners agreement to ensure that it is legally binding and meets the requirements of the Australian Racing Industry. A well-drafted co-owners agreement will help to avoid potential disputes and ensure the smooth management and racing of your racehorse.