“I am contemplating taking in heifers next year on a B&B arrangement. Although I don’t expect any problems I have a few queries. Like what happens if the owner of the animals isn’t happy or refuses to pay?
“Who is responsible if an animal dies while in my care? I hate to think of it but it happens?”
Prior to the movement of animals to the contract-rearer’s holding (farm), an AIM certificate of compliance, using Form NBAS 31A for farm-to-farm movement, must be completed. Once a movement has taken place, the person receiving the animals, ie the contract-rearer as “keeper” becomes responsible for them.
Animal identification and movement legislation requires that the passport (blue card) must accompany an animal each time it moves.
It is worth highlighting that the AIMs system does not record ownership of an animal – it merely records the location of the animal and the current keeper.
Therefore, animal identification numbers and ownership details should be clearly stated in a written legal agreement.
Formal written agreement
While experience has shown that the vast majority of contract-rearing arrangements go well, unfortunately there will be cases where things do not go according to plan. This is when a written agreement becomes all-important. If you did not enter into a written contract it will be your word as contract-rearer against the owner’s word as to what was agreed between you.
Teagasc has prepared two specimen agreements:
(1) a flat rate contract and
(2) weight bonus contract
Both of these are freely available on their website.
They can be accessed at this link: https://www.teagasc.ie/rural-economy/farm-management/collaborative-farming/contract-heifer-rearing/
Teagasc agreement
The Teagasc specimen agreement provides as follows:
Payment
The owner is obliged to pay to the contract-rearer the fees set out in the agreement at the time and manner set out in the agreement.Late payments made by the owner to the contract-rearer carry an interest payment of 1.5% per month or part of a month.If a payment is not made within three months, the contract-rearer may sell the animals to recover the unpaid fees having given 14 days’ notice in writing to the owner, but refunding to the owner any excess thereafter less costs associated with the sale. Losses/Death of Animal
The owner shall suffer normal losses of replacement heifer due to death or misadventure.Payments to the contract-rearer shall cease in relation to dead replacement heifers from the date of the animal’s deathIf losses arise due to death or misadventure of more than 5% of a contemporary group of replacement heifers being cared for by the contract-rearer, then the contract-rearer shall refund in full to the owner any fees paid to him by the owner in respect of the replacement heifers in excess of 5% so lost. Animal Welfare
The contract-rearer shall provide animal housing and hygiene for the said replacement heifers to a standard that is generally acceptable under good farming practice.The contract-rearer shall provide conditions that comply with requirements of all regulatory authorities regarding animal welfare and disease control.At all times during the course of the contract period, the contract-rearer shall provide at his own expense, adequate and nourishing animal feed to the replacement heifers which shall consist of good-quality pasture, stored forages, supplementary feeds, ration balancing and bloat controls as appropriate.Allow the owner access to the property where the animals are kept at all reasonable times to inspect, deliver or collect animals, with reasonable prior notice.Arbitration
If either party is in breach of the agreement such as not feeding animals properly, any disputes are required to be resolved by conciliation or arbitration under the Teagasc specimen agreement. In the absence of a written contract-rearing agreement, the oral agreement between the parties will be relied on. In most circumstances, this oral agreement will not have contemplated these types of issues.
Consequently, it is important that a written agreement be drawn up before the animals move.
A written contract like the sample/specimen contract prepared by Teagasc is vital to ensure that all parties to a contract-rearing agreement are aware of their responsibilities.
Disclaimer: The information in this article is intended as a general guide only. While every care is taken to ensure accuracy of information contained in this article, Aisling Meehan, Agricultural Solicitors does not accept responsibility for errors or omissions howsoever arising. E-mail aisling@agrisolicitors.ie
Read more
Who is responsible for an animal that died at the mart?
Legal matters: what’s my liability if I block drains under the rewetting scheme?
“I am contemplating taking in heifers next year on a B&B arrangement. Although I don’t expect any problems I have a few queries. Like what happens if the owner of the animals isn’t happy or refuses to pay?
“Who is responsible if an animal dies while in my care? I hate to think of it but it happens?”
Prior to the movement of animals to the contract-rearer’s holding (farm), an AIM certificate of compliance, using Form NBAS 31A for farm-to-farm movement, must be completed. Once a movement has taken place, the person receiving the animals, ie the contract-rearer as “keeper” becomes responsible for them.
Animal identification and movement legislation requires that the passport (blue card) must accompany an animal each time it moves.
It is worth highlighting that the AIMs system does not record ownership of an animal – it merely records the location of the animal and the current keeper.
Therefore, animal identification numbers and ownership details should be clearly stated in a written legal agreement.
Formal written agreement
While experience has shown that the vast majority of contract-rearing arrangements go well, unfortunately there will be cases where things do not go according to plan. This is when a written agreement becomes all-important. If you did not enter into a written contract it will be your word as contract-rearer against the owner’s word as to what was agreed between you.
Teagasc has prepared two specimen agreements:
(1) a flat rate contract and
(2) weight bonus contract
Both of these are freely available on their website.
They can be accessed at this link: https://www.teagasc.ie/rural-economy/farm-management/collaborative-farming/contract-heifer-rearing/
Teagasc agreement
The Teagasc specimen agreement provides as follows:
Payment
The owner is obliged to pay to the contract-rearer the fees set out in the agreement at the time and manner set out in the agreement.Late payments made by the owner to the contract-rearer carry an interest payment of 1.5% per month or part of a month.If a payment is not made within three months, the contract-rearer may sell the animals to recover the unpaid fees having given 14 days’ notice in writing to the owner, but refunding to the owner any excess thereafter less costs associated with the sale. Losses/Death of Animal
The owner shall suffer normal losses of replacement heifer due to death or misadventure.Payments to the contract-rearer shall cease in relation to dead replacement heifers from the date of the animal’s deathIf losses arise due to death or misadventure of more than 5% of a contemporary group of replacement heifers being cared for by the contract-rearer, then the contract-rearer shall refund in full to the owner any fees paid to him by the owner in respect of the replacement heifers in excess of 5% so lost. Animal Welfare
The contract-rearer shall provide animal housing and hygiene for the said replacement heifers to a standard that is generally acceptable under good farming practice.The contract-rearer shall provide conditions that comply with requirements of all regulatory authorities regarding animal welfare and disease control.At all times during the course of the contract period, the contract-rearer shall provide at his own expense, adequate and nourishing animal feed to the replacement heifers which shall consist of good-quality pasture, stored forages, supplementary feeds, ration balancing and bloat controls as appropriate.Allow the owner access to the property where the animals are kept at all reasonable times to inspect, deliver or collect animals, with reasonable prior notice.Arbitration
If either party is in breach of the agreement such as not feeding animals properly, any disputes are required to be resolved by conciliation or arbitration under the Teagasc specimen agreement. In the absence of a written contract-rearing agreement, the oral agreement between the parties will be relied on. In most circumstances, this oral agreement will not have contemplated these types of issues.
Consequently, it is important that a written agreement be drawn up before the animals move.
A written contract like the sample/specimen contract prepared by Teagasc is vital to ensure that all parties to a contract-rearing agreement are aware of their responsibilities.
Disclaimer: The information in this article is intended as a general guide only. While every care is taken to ensure accuracy of information contained in this article, Aisling Meehan, Agricultural Solicitors does not accept responsibility for errors or omissions howsoever arising. E-mail aisling@agrisolicitors.ie
Read more
Who is responsible for an animal that died at the mart?
Legal matters: what’s my liability if I block drains under the rewetting scheme?
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