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A horse lease agreement in the Netherlands has no dedicated statute. If you pay for the use of the horse, Dutch law may treat it as a lease of property (Article 7:201 DCC); if you ride for free, it may be a loan for use (Article 7A:1777 DCC). That decides who pays the vet and how the deal ends, so have the agreement drafted or reviewed before the horse moves.
For other equine topics, see our page on Dutch equine law.
Is a horse lease or horse loan a recognised contract under Dutch law?
Not as such. Dutch law has no “horse lease” or “horse loan” contract. A deal with a fee or other return can be a lease of property, a free deal can be a loan for use, and anything that fits neither is an unnamed contract governed by the general rules.
A lease of property (huur) is a contract under which one party gives the other the use of a thing and the other party commits to a return performance (Article 7:201(1) DCC). Animals are not things, but the rules on things apply to them, subject to the limits set by statute and unwritten law (Article 3:2a DCC). The statute speaks of a return performance, not of money, so a fixed share of the stable work can count as well.
A loan for use (bruikleen) is a contract under which one party gives the other a thing to use free of charge, on condition that it is returned (Article 7A:1777 DCC); the lender stays the owner (Article 7A:1778 DCC). Gaps are filled by statute, custom and reasonableness and fairness (Article 6:248(1) DCC).
Paid lease or free loan: which default rules apply?
Different ones. Dutch law answers questions on care, damage to the horse, costs and termination differently for a paid lease and a free loan. Those answers apply only where your agreement says nothing.
| Question | Paid lease (huur) | Free loan (bruikleen) |
|---|---|---|
| Care for the horse | behave as a good tenant (Art. 7:213 DCC) | care as a careful and reasonable person; only the agreed or usual use (Art. 7A:1781 DCC) |
| Damage to the horse | liable for damage caused by an attributable failure; all damage except fire damage is presumed to be so caused (Art. 7:218(1)–(2) DCC) | not liable for loss of value through use without fault (Art. 7A:1784 DCC); if the horse was valued at the start, the borrower bears loss even by accident, unless agreed otherwise (Art. 7A:1783 DCC) |
| Costs | owner remedies defects unless impossible or unreasonably costly (Art. 7:206(1) DCC) | borrower cannot recover the costs of using the horse (Art. 7A:1785 DCC); urgent, extraordinary and necessary costs are reimbursed (Art. 7A:1789 DCC) |
| End | fixed term: ends automatically; open-ended: by notice (Art. 7:228 DCC) | after the agreed period or use (Art. 7A:1787 DCC); a court may order earlier return if the owner has an urgent, unforeseen need (Art. 7A:1788 DCC) |
The presumption in Article 7:218(2) DCC is strict for a rider, and whether a lame horse is a “defect” under Article 7:204 DCC is for the court to decide. Settle these points in writing.
Who pays the vet, farrier and livery during a horse lease?
Whoever the contract says. Without a clause, a borrower cannot recover the costs of using the horse (Article 7A:1785 DCC), and under a paid lease the owner must remedy defects (Article 7:206 DCC).
List who pays and decides for each cost: livery, farrier, vet, vaccinations, competitions and training. Under a loan, the borrower is reimbursed for urgent, extraordinary and necessary costs he could not report in advance (Article 7A:1789 DCC). If the horse stands at a livery yard, the yard has its own contract with the owner; see livery yard liability in the Netherlands.
Who is liable if the leased horse is injured?
That depends on the contract and its classification. A paying rider is liable for damage caused by an attributable failure, which is presumed. A borrower must take care of the horse but is not liable for wear from normal use.
The lessee is liable for damage to the leased property caused by a failure attributable to him, and all damage except fire damage is presumed to be so caused (Article 7:218(1)–(2) DCC). A borrower must look after the horse as a careful and reasonable person (Article 7A:1781 DCC). Under an unnamed contract, the general rule on non-performance applies (Article 6:74 DCC).
Planning a horse lease or loan in the Netherlands, or already in a dispute about costs or an injury? Ask our equine lawyer in the Netherlands to review your position before the horse changes yards.
Who is liable if the leased horse injures someone?
As a rule, the owner. A rider who uses the horse under a lease or loan holds it for the owner, who remains its possessor and is strictly liable under Article 6:179 DCC.
A person who has begun to hold a horse for someone else under a legal relationship continues to do so until that changes (Article 3:111 DCC); see also horse ownership disputes in the Netherlands. If the rider uses the horse in a business, such as teaching, the rider is liable instead (Article 6:181(1) DCC). If the horse injures the rider herself, she can claim against the owner provided she is neither a co-possessor nor a co-user in a joint business (Hoge Raad 29 January 2016, ECLI:NL:HR:2016:162, paras 3.7 and 3.9); her own fault can reduce the compensation (Article 6:101 DCC).
Which insurance should a horse lease agreement deal with?
Who insures which risk: the owner’s liability as possessor, the rider’s liability for her own mistakes, and, if wanted, the horse itself. Towards an injured third party, the contract changes nothing (Article 6:179 DCC).
Each party should check its own cover and record who pays premium and excess. Our page on liability and insurance in Dutch equine law sets out the liability rules in more detail.
How do you end a horse lease or loan in the Netherlands?
As agreed. Without a clause, a fixed-term lease ends when the term expires and an open-ended lease ends by notice. Under a free loan, the owner can only ask for the horse back after the agreed period or use.
A lease for a fixed period ends without notice when that period expires; an open-ended lease ends by notice (Article 7:228 DCC). Under a loan, the owner cannot reclaim the horse earlier (Article 7A:1787 DCC), unless a court orders its return because the owner urgently and unexpectedly needs it (Article 7A:1788 DCC). If a party fails to perform, the other may rescind, unless the failure is too minor or of too special a nature to justify that (Article 6:265(1) DCC).
Which law governs a cross-border horse lease?
The law the parties choose. Otherwise the Rome I Regulation decides, partly by the habitual residence of the party performing the characteristic obligation. Which party that is in a horse lease, the Regulation does not say; a choice of law avoids the argument.
The parties may choose the applicable law (Article 3(1) Rome I); otherwise Article 4 applies. If the owner is a business, such as a sales yard, and the rider a consumer, the law of the rider’s country of habitual residence applies if the yard pursues its activities there or directs them to that country and the lease falls within those activities (Article 6(1)). A choice of law cannot then deprive the rider of the mandatory protection of that law (Article 6(2)). That rule does not apply to services supplied to the consumer exclusively outside his country of residence (Article 6(4)(a)).
What should a horse lease agreement in the Netherlands include?
- The parties, the horse (name, microchip or passport number) and where it is stabled.
- The fee or other return performance, or an express statement that the use is free.
- The use: days, discipline, who may ride, competitions or not, travel abroad.
- Each cost item and the limit for vet decisions.
- Damage to the horse: who bears what, and whether the horse has been valued.
- Insurance and who reports a claim.
- Term, notice and return, including after a long-term injury or a sale of the horse.
- The applicable law.
A purchase option belongs in a separate agreement; see our page on the horse sale contract in the Netherlands.
Practical example: a season lease for a British amateur rider
Suppose an amateur rider from Kent leases a showjumper from a private owner in Gelderland for one season. The horse stays at the owner’s yard; the rider pays a monthly fee and the farrier. Nothing is in writing beyond a few emails. In July the horse injures a tendon at a show in Belgium.
Without a choice of law, Article 4 Rome I decides whether Dutch or English law applies. If Dutch law applies, the fee means the deal may be a lease of property (Article 7:201 DCC), with the presumption of Article 7:218(2) DCC for the injury. A short written agreement with a choice of law, a cost clause and an insurance clause could have narrowed the dispute.
This is a hypothetical example for illustration only, not a real case.
With a lease, I first ask what owner and rider want: competition results, a horse that keeps working, or a trial before a purchase. Then I set out the costs and risks for each situation. Only then do I choose the legal form.
How can MAAK help with your horse lease agreement?
- We establish what you want to arrange and which classification fits.
- We draft the lease or loan agreement, or review your draft.
- In a dispute about costs, an injury or termination, we negotiate and, where needed, litigate.
We act before the Dutch courts at first instance and on appeal, for owners and riders from the Netherlands and abroad.
In a dispute over a leased horse, both sides care about the animal. I therefore look first for a practical settlement, such as a split of the vet bill or an orderly end to the lease.
Frequently asked questions about horse lease agreements in the Netherlands
Is a horse lease in the Netherlands a lease or a loan?
With a fee or other return it may be a lease of property (Articles 7:201 and 3:2a DCC); without one it may be a loan for use (Article 7A:1777 DCC). Otherwise it is an unnamed contract.
What is the difference between a horse loan and a horse lease under Dutch law?
Dutch law distinguishes by payment: a free loan may be bruikleen (Article 7A:1777 DCC), a paid arrangement may be huur (Article 7:201 DCC). The default rules on costs, damage and termination differ.
Who pays the vet when a leased horse is injured?
Whoever the contract says. Without a clause, a borrower under a free loan cannot recover the costs of using the horse (Article 7A:1785 DCC) but does recover urgent, extraordinary and necessary costs of preserving it (Article 7A:1789 DCC).
Is the rider liable if a leased horse kicks someone?
As a rule not as possessor: the rider holds the horse for the owner (Article 3:111 DCC), who is liable (Article 6:179 DCC). A rider who uses the horse in a business is liable (Article 6:181(1) DCC).
Primary sources
- Dutch Civil Code (Burgerlijk Wetboek) Book 3: Article 3:2a, 3:111
- Book 6: Article 6:74, 6:101, 6:179, 6:181, 6:248, 6:265
- Book 7 (lease of property): Article 7:201, 7:204, 7:206, 7:213, 7:218, 7:228
- Book 7A (loan for use): Article 7A:1777, 7A:1778, 7A:1781, 7A:1783, 7A:1784, 7A:1785, 7A:1787, 7A:1788, 7A:1789
- Regulation (EC) No 593/2008 (Rome I), Articles 3, 4 and 6
- Hoge Raad (Dutch Supreme Court) 29 January 2016, ECLI:NL:HR:2016:162
Leasing or loaning a horse in the Netherlands, or in a dispute with the owner or rider? Tell me about your situation: call +31 20 210 31 38 or get in touch through our page for an equine lawyer in the Netherlands. — Faranaz Ishak
