Why It’s Important To Have An Agistment Agreement

If you provide pasture and care for horses or other livestock on your property, you’re running an agistment business - even if it started as a favour for a friend.

Agistment can be a great income stream, but without clear, written terms, small misunderstandings can quickly become big, costly disputes.

A simple, tailored Agistment Agreement sets expectations, allocates risk and keeps both the agistor (you) and the animal’s owner on the same page from day one.

In this guide, we’ll explain what an Agistment Agreement is, why it matters in Australia, the key clauses to include, and the other documents that help protect your agistment business as it grows.

What Is An Agistment Agreement?

An Agistment Agreement is a contract between the landholder or facility operator (the agistor) and the owner of the horse or livestock (the owner).

It covers the right to keep the animal on your land, the level of care you’ll provide, fees and payment terms, who is responsible for veterinary costs or damage, and what happens if bills aren’t paid or an emergency occurs.

While some people rely on messages or a handshake, a written agreement makes everything much clearer. It also helps you meet your obligations under Australian law - for example, the Australian Consumer Law (ACL) if you advertise services to the public, and state-based animal welfare requirements.

If you’re getting set up or updating your paperwork, it’s worth using a properly drafted Agistment Agreement that’s tailored to your property, services and risk profile.

Why Have A Written Agistment Agreement?

Putting your terms in writing isn’t just admin - it’s one of the most effective ways to manage risk and keep your business running smoothly.

1) Clarity on Care and Responsibilities

Your clients need to know exactly what’s included (paddock, stable, feed type/quantity, rugging, hard feeds, turnout, exercise), what’s not included, and when extra charges apply.

A written agreement sets those expectations so there’s no confusion about daily care, farrier bookings, worming and vaccinations, or who arranges and pays for transport.

2) Payment Terms You Can Enforce

Clear fee schedules, due dates, late fees and processes for non-payment protect your cash flow. If you offer fortnightly or monthly billing, make sure your payment method complies with Australia’s direct debit laws and that your agreement authorises the charges.

3) Health, Safety and Animal Welfare

Agistment involves live animals and real risks. Your agreement should explain biosecurity protocols, vaccination standards, helmet policies, quarantine procedures and your right to restrict access in certain conditions (e.g. extreme weather or disease outbreaks).

4) Liability and Risk Allocation

Agistment facilities can’t guarantee animal outcomes. With the right clauses, you can limit your liability to the extent permitted by Australian law and ensure the owner accepts risks inherent in keeping and riding horses.

This is where well-drafted limitation and indemnity wording matters. Many agistors also collect a signed Waiver for riders and visitors - a separate risk management layer that works alongside your Agistment Agreement.

5) Exit Plans That Avoid Disputes

Agreements should cover notice periods (for both parties), what happens if fees are outstanding, how and when the owner must remove the animal and gear, and your rights if an animal is abandoned. This helps you resolve issues without protracted arguments.

What Should An Agistment Agreement Include?

Every property is different, but most agistment contracts include a core set of terms. Here’s a practical checklist you can use when designing or reviewing your document.

Essential Commercial Terms

• Parties and animal details: Full names, addresses, ABN (if applicable), plus the animal’s name, breed, microchip/brand and distinguishing features.
• Services and inclusions: Paddock or stable access, feed type/amount, turnout, rugging, hard feeds, exercise, use of arena/facilities, manure removal and any add-ons.
• Fees and charges: Weekly/monthly rates, agistment type (full, part, DIY), additional service rates (e.g. feeding, catching for farrier), bond/deposit (if any), and how/when fees may be reviewed.
• Billing and payments: Due dates, accepted methods, security deposits, late fees, and processes for failed or disputed payments.

Care, Health and Biosecurity

• Owner warranties: Vaccination status, worming, illness or behaviour history (e.g. windsucking, cribbing, kicking), and that the owner has authority to enter the agreement.
• Care standards: Feeding schedule, water, shelter, rugging parameters, and who decides changes (e.g. you can adjust feed in response to weather/condition).
• Biosecurity protocols: Quarantine periods, strangles/herpes protocols, proof of vaccination, and your right to isolate or refuse entry if standards aren’t met.
• Vet and farrier: Who arranges and pays, whether you can instruct urgent treatment if the owner is unreachable, and how those costs are recovered.

Risk, Liability and Insurance

• Inherent risk acknowledgment: Horses are unpredictable; owners accept risks associated with keeping and riding them.
• Liability position: Limit your liability to the extent permitted by the ACL and your state law, and clearly state what you’re not responsible for (e.g. injury, illness or loss not caused by your negligence).
• Owner insurance: Require the owner to maintain appropriate insurance (e.g. public liability for riders, horse mortality/medical cover if desired).
• Indemnities: Where appropriate, ensure the owner indemnifies you for losses arising from their breach, negligence or the animal’s behaviour.
• Property damage: Who pays if an animal damages fences, stables or equipment; your right to recover repair costs.

It’s common to support these provisions with clear limitation wording. If you’re unsure, it helps to read up on limitation of liability clauses and get advice before you start taking animals in.

Access, Safety and Conduct

• Access times and rules: Hours of access, supervision rules for children or guests, dog policies, and alcohol/smoking rules around the property.
• Riding rules: Helmet and footwear requirements, arena use rules, lesson bookings, instructor approvals and cancellations for weather or maintenance.
• Equipment and storage: Where gear can be stored, responsibility for theft/loss, and removal obligations when the agreement ends.

Non-Payment, Lien and Removal Rights

• Overdue process: Late fees, your right to suspend services or restrict access, and steps you’ll take before escalating.
• Agistment lien: In some states, you may have a statutory or contractual lien over animals for unpaid fees. Your agreement should set out what you can do lawfully if fees go unpaid (e.g. notice to collect, selling the animal as a last resort in compliance with applicable law). Get legal advice tailored to your state.
• Abandonment and termination: Notice periods, circumstances for immediate termination (e.g. severe welfare or safety risk), and the process to remove animals and property.

Disputes and Practicalities

• Communication: Preferred channels for notices (email, SMS) and how notices are deemed received.
• Dispute resolution: Encourage informal resolution first, then mediation before litigation.
• Force majeure: What happens during bushfires, floods or biosecurity lockdowns - and how fees and access are managed.
• General: Governing law (your state/territory), assignment restrictions (owners shouldn’t transfer bookings without consent), and variation requirements (changes must be in writing).

Do You Need Other Documents And Policies?

Your Agistment Agreement does the heavy lifting, but a few supporting documents and policies will make life much easier, especially as you grow.

• Waiver: A short, signed acknowledgment from riders and visitors about the risks of equine activities and their agreement to follow your safety rules. This complements (not replaces) your Agistment Agreement.
• Privacy Policy: If you collect personal information from owners or riders (contact details, emergency contacts, payment details), you should explain how you collect, use and store that data in line with the Privacy Act.
• Website Terms and Conditions: If you take bookings or promote your services online, your site should set out acceptable use and disclaimers for content and third-party links.
• Employment Contract: If you hire staff (e.g. a stable manager or groundskeeper), use proper employment agreements that align with Fair Work requirements on hours, pay and duties.
• Service Agreement: If you offer separate services (coaching, breaking, training) that aren’t part of agistment, put those on their own terms so you can price and limit risk appropriately.
• Non-Disclosure Agreement: Useful when you work with contractors or partners and want to protect business know-how (e.g. client lists, pricing models).

If you offer instalments or autopay, make sure your payment terms and processes are consistent with Australia’s direct debit laws and are clearly authorised in writing.

Common Agistment Issues (And How A Good Agreement Helps)

Here are the situations we see most often - and how strong documents reduce stress and cost.

Late or Unpaid Fees

Without clear payment terms, chasing overdue accounts gets awkward quickly. Your agreement should set automatic late fees, a structured escalation process, and rights to suspend services or restrict facility access if accounts fall behind.

Including a reasonable security deposit and clearly stating the owner’s obligation to cover all third-party costs (e.g. vet) can prevent a cash flow crunch.

Injury, Illness or Emergencies

Horses can colic, kick through fences or pick up viruses. Your agreement should authorise you to obtain urgent veterinary treatment if the owner is unreachable, cap a dollar limit for emergency spend without prior approval, and set out repayment timelines.

Make sure owners provide current emergency contacts and their vet preference, and agree to reimburse you for any outlays you make on their behalf.

Behaviour and Safety

Dangerous behaviour (kicking, fence-running, gate-barging) can cause property damage and risk to people and other animals. It’s important your agreement allows you to move a horse to a safer paddock, impose conditions, or terminate with short notice where safety or welfare demands it.

Support this with property rules and a signed Waiver for riders and guests.

Overholding and Abandoned Animals

Sometimes owners stop communicating or won’t remove a horse when the agreement ends. A robust contract will set clear notice periods, storage fees for gear left on-site, and your rights if an animal is not collected within a reasonable time, consistent with any lien rights available in your state.

Wear, Tear and Damage

Spell out what’s “fair wear and tear” versus damage, how repair costs are quoted and invoiced, and that owners are liable for damage caused by their animals or visitors. Photos on entry and exit help avoid disputes.

Refunds and Consumer Law

If you advertise to the public, the ACL applies. Your contract can’t exclude the consumer guarantees but it can fairly set expectations about services and remedies.

Use clear, plain-English terms and avoid promises you can’t control (like guaranteeing the health or performance of an animal). For more context, strong indemnity and limitation wording (drafted carefully to comply with the ACL) can help manage your exposure - if you’re unsure, get your terms reviewed to ensure your limitations are enforceable and fair. Reading up on limitation of liability clauses is a good starting point.

Step-By-Step: Rolling Out Your Agistment Agreement

1) Map Your Services and Pricing

List your agistment types (full, part, DIY), inclusions and optional add-ons. Decide billing cycles and how price increases will work (e.g. 30 days’ notice).

2) Get Your Contract Drafted (Or Reviewed)

Use a tailored Agistment Agreement that reflects your operation, property and state laws. If you already have a template, a quick legal review can help close gaps before you onboard new clients.

3) Set Up Your Onboarding Pack

Prepare a checklist: signed agreement, emergency contacts form, vaccination evidence, horse health history, and a signed Waiver for all riders/visitors.

4) Align Your Website and Privacy Settings

Add your Privacy Policy, booking rules and Website Terms and Conditions to your site. Make sure new enquiries receive your contract early in the process.

5) Train Your Team

If you have staff, brief them on onboarding steps, biosecurity and safety rules, and where to find signed documents. Use written procedures and an Employment Contract so responsibilities are clear.

6) Review Annually

Laws, costs and service models change. Schedule a yearly review of your agreement, policies and pricing so they keep pace with your business.

Key Takeaways

• An Agistment Agreement puts clear terms around care, fees, safety and risk - protecting you and your clients from misunderstandings and disputes.
• Cover the essentials: services and inclusions, payment terms, biosecurity and vet authority, liability and indemnities, access and safety rules, and practical exit processes.
• Support your contract with a rider/visitor Waiver, a clear Privacy Policy, and online Website Terms and Conditions if you take enquiries or bookings on your site.
• If you take recurring payments, make sure your processes and authorisations align with Australia’s direct debit laws.
• Well-drafted limitation and indemnity clauses help manage your exposure while staying compliant with the Australian Consumer Law.
• Review your documents annually as your services, facilities and pricing evolve - it’s easier to prevent issues than to fix them later.

If you’d like a consultation about setting up an Agistment Agreement and the supporting documents for your agistment business, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.