National Reining Horse Association 

CONDITIONS OF SALE 

This sale is conducted in accordance with, and all acts of interested parties and/or 

claims by them shall be governed by the following conditions of sale: 

The Conditions of Sale stated in this catalog form a contract for the purchase of your horse. You will be bound by these conditions even if you have not read them. The Conditions of Sale state the protection a buyer receives as well as the responsibilities of the buyer, seller and the National Reining Horse Association (NRHA). This sale is conducted in accordance with, and all acts of interested parties and/or claims by them shall be governed by, the following conditions of sale: FIRST APPLICABLE LAW: All horses in this sale are offered according to the laws of the state of Oklahoma wherein the sale is conducted. Any consignor, bidder, buyer, agent and any other person having anything to do with this sale agrees that any dispute arising as a result of any occurrence having to do with any consignment or sale shall be subject to the jurisdiction and venue of the State and Federal Courts in Oklahoma City, Oklahoma. The right to bid is reserved for all consignors unless otherwise announced. SECOND WARRANTY IN GENERAL: THERE IS NO WARRANTY EXPRESS OR IMPLIED BY THE NRHA, AUCTIONEER, SPONSORS, OWNER OR CONSIGNOR, AS TO THE PERFORMING SOUNDNESS, MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OF ANY HORSE OFFERED IN THIS SALE. ALL HORSES ARE SOLD “AS IS'' WITH ALL EXISTING CONDITIONS AND DEFECTS EXCEPT AS SET FORTH IN CONDITIONS EIGHTH, NINTH, TENTH AND ELEVENTH BELOW. BUYERS SHOULD EXAMINE HORSES PRIOR TO PURCHASING. THIRD BIDDING PROCEDURE: The person making the highest bid recognized by the auctioneer shall be the buyer. The auctioneer shall immediately present the buyer with a document entitled Acknowledgment of Purchase for signature. The buyer should confirm the correct hip number and price before signing. Name and address must be printed clearly since this document is used for transfers, invoicing, and in publishing sale results. Should such presentation not be made prior to commencement of bidding on the next lot offered, the buyer shall forthwith identify himself or herself to the auctioneer as buyer and sign the Buyers Agreement. In the event that a person other than the recognized buyer signs the Buyers Agreement, such action shall not give such other person any right or title to the horse; and immediately that such erroneous signing of the Buyer's Agreement becomes known to the auctioneer, he shall cause the Buyer's Agreement to be presented to the recognized buyer for signature. If the highest bidder fails to immediately execute the Buyers Agreement or otherwise fails to comply with the Conditions of Sale, or in the event of a mistake by the auctioneer, NRHA reserves the option to re sell the animal and such resale shall terminate all obligations of NRHA and the consignor to honor any prior bid. FOURTH BIDDING DISPUTES: Should any dispute arise between or among two or more bidders, the auctioneer may forthwith adjudicate the dispute, and his decision shall be absolute, final and binding on all parties. Bids received by personnel employed by the auctioneer or NRHA have the same stature as bids received by the auctioneer. In case of dispute, the bidding shall be reopened for advance bids, and if there be no advance bid, the horse is sold to the person from whom auction eer recognized the last bid. Advance bidding shall be restricted to the disputing parties, unless the bid is reduced below the level of the recognized bid at commencement of dispute, in which case bidding is reopened to all. The auctioneer reserves the right to reject any or all bids. FIFTH OWNERSHIP AND DELIVERY: Ownership and responsibility for the horse passes to the buyer at the fall of the hammer. All risk of injury and responsibility for the horse, including care for the horse becomes buyer's risk at that time. Registration papers for the horse will be held by NRHA until the buyer makes a settlement as provided in Condition Sixth below. Buyer shall immediately present himself or herself to make settlement if requested by auctioneer, but in any case shall so present 

himself or herself within thirty minutes of conclusion of the sales session in which the horse was purchased. Upon settlement by buyer, horse will be delivered pursuant to a "stable release" provided by the NRHA to buyer or his or her representative. Buyer or his or her representative shall present "stable release to designee of the NRHA to remove horse from sales premises after taking possession, but in any case taking possession of the horse by buyer or his or her representative shall constitute delivery. Upon delivery, the buyer shall cause the horse to be removed by noon of the day following the horse show, or must make specific provisions with Horse Show Management. In addition, should purchaser fail to cause horse to be removed in accordance with conditions, the NRHA may cause horse to be removed from sales premises at buyer's risk and expense. The NRHA expects the consignor and buyer (or their respective agents) to personally meet as soon as practical after the fall of the hammer in order to make certain of the continued care and welfare of the horse. SIXTH TERMS FOR SETTLEMENT: Buyer shall make settlement with cashier of the NRHA. Pay ments to others, including consignors or their representatives, do not constitute settlement. Buyer shall present himself or herself to make settlement as provided in Condition Fifth above for the full purchase price, such settlement to be in form of U.S. currency, Cashier's Check on a U.S. bank, personal check (with proper bank letter of guarantee-see Request to purchase by Check form in this catalogue) and MasterCard, Visa, Discover or American Express (with a 3.5% buyer's premium added). The Acknowledgment of Purchase is not transferable without the approval of NRHA and the copy of the Buyer's Agreement retained by the buyer must be presented by the buyer at the time of settlement. SEVENTH DEFAULTERS: Should buyer fail to comply in any respect with conditions fifth and sixth above, the NRHA may, in its absolute discretion, assist the consignor in pursuit of any remedy that is available against the defaulting buyer, including, but not limited to, taking possession of the horse, resale of the horse at public auction or by private treaty for account of defaulter. In any such case the defaulter shall be liable for any deficit in his account after charging to his account all costs of maintenance and resale, including, but not limited to, service charges, attorney's fees, costs of litigation, and damages available to undersigned by law. EIGHTH WARRANTIES AS TO DESCRIPTION: Unless otherwise announced there is no representation or warranty as to the breeding qualities of any horse described at time of sale. 1. Any purchaser of a broodmare sold in this sale may have the mare examined within 24 hours after the fall of the hammer, and prior to removal from sales premises, by a veterinarian acceptable to the undersigned. Any broodmare so examined whose pregnancy or breeding soundness status is found not to be as represented at the time of sale may be returned to consignor as unsold, and consignor shall pay veterinarian's fee for examination. 2. Any contractual agreements between owners of broodmares in this sale and owners of stallions to which these mares may have been bred do not follow the mares unless so indicated at time of sale. The possible return to any stallion or possible refund of any stud fees does not go with any broodmare unless so indicated at time of sale. NINTH WARRANTIES AS TO SOUNDNESS: UNLESS EXPRESSLY ANNOUNCED FROM THE AUCTION STAND, OR BY OFFICIAL PUBLICATION OF THE NRHA, OR AS HEREINAFTER PROVIDED, THERE IS NO WARRANTY OR GUARANTEE OF ANY KIND AS TO THE SOUNDNESS OR CONDITION OR OTHER QUALITY OF ANY HORSE SOLD IN THIS SALE. THE BUYER HAS THE RESPONSIBILITY TO EXAMINE HORSES BEFORE BIDDING. TENTH LIMITED WARRANTIES: Horses which are unsound in eyes or mouth, are "cribbers," "wind suckers," or "cryptorchids' ' must be so announced. Veterinary services are available to bidders in the stables; each bidder is encouraged to conduct such inspection and examination of each animal prior to bidding. Except as otherwise announced by the auctioneer at the time of sale, the consignor of each animal represents and warrants to the buyer and NRHA title to the animal free from all adverse claims to ownership, use or possession. Except for the foregoing limited warranty each animal is sold by the consignor without warranty and with all faults. In the event that any animal is not as represented in the Sale Catalog or on the breach of the foregoing limited warranty (as the Sale Catalog or limited warranty might be modified by announcement at the time of sale) the buyer shall file with the NRHA a written notice of rejection of the animal with such supporting certificates 

as NRHA might require within twenty four (24) hours after the close of the Sale session in which the animal was purchased. If the buyer rightfully rejects the animal in the manner and within the time provided, the animal will be returned by the buyer to the consignor and the consignor will refund to the buyer the full purchase price of the animal together with all reasonable expenses incurred by the buyer in connection with the animal from the time of sale until return to the consignor. ELEVENTH CONSIGNEE STATUS: The NRHA is operating as an independent contractor engaged in the business of conducting a consignment sale. The NRHA has compiled the Sale Catalog from information provided by the designated consignor. All announcements by the auctioneer at the time of sale are made on behalf of the designated consignor and will take precedence over the printed provisions of the Sale Catalog. In the event of any dispute between the buyer and the consignor, the NRHA will occupy the position of agent for a disclosed principal and stakeholder and will be discharged from all obligations owing to the consignor or the buyer on delivery of any property or funds held by the NRHA to the Court having jurisdiction of such dispute. The NRHA makes no representation or warranty with respect to any animal and the buyer must look solely to the designated consignor for recovery of any damage by reason of the failure of any representation or limited warranty. TWELFTH CATALOGUE AND ANNOUNCEMENTS: Horses catalogued in this sale are offered as represented by consignor. Neither the NRHA nor the auctioneer is responsible for the accuracy of information provided. Information in this catalog other than that provided by AQHA, NCHA, or NRHA has been provided by the consignor or other third party. While certain information may have been procured by the auctioneer from third parties on behalf of the consignor, it is nonetheless solely the responsibility of the consignor to verify the accuracy of such information and to notify the auctioneer of any corrections prior to sale. With respect to producing records of broodmares, the terms “barren" or "open" shall mean that the mare was bred, was not found to have slipped, and failed to produce a foal. In case of error or omission, the buyer shall seek redress only from the consignor. THIRTEENTH ARBITRATION: 1. Any controversy arising out of a claim arising under warranties shall be settled by arbitration between the buyer and consignor pursuant to the following procedure: Upon the auctioneer's determination that a claim under such conditions Of Sale has been timely and properly presented by the buyer pursuant to these Conditions of Sale, and upon notice from the auctioneer, the buyer and the consignor shall each select a licensed veterinarian accept able to the auctioneer. If such veterinarians fail to agree promptly as to the validity of the claim, they or the buyer and the consignor involved in the controversy, shall agree upon a third licensed veterinarian. If such two veterinarians, or the buyer and the consignor, are unable to agree promptly upon the third veterinarian, the auctioneer shall appoint the third veterinarian. The third veterinarian's fee, expenses and costs shall be paid by the party whose property the horse is determined to be. The panel of three veterinarians shall conduct any tests, investigation, or examinations which they deem necessary, and may, in their discretion, conduct a hearing by notifying the auctioneer to arrange for the hearing, and shall, by majority vote, determine the validity of the claim. The auctioneer shall determine the amount of reimbursement due to a buyer whose claim is found to be valid and may, in the auctioneer's sole discretion, conduct a hearing to aid in making such a determination, and such determination shall be incorporated in the award. 2. Arbitration above shall take place in a location designated by the NRHA. Judgment upon any award rendered by the arbitrator(s) may be entered by any party and any court having jurisdiction thereof. The auctioneer will be entitled to reimbursement from the party whose property the horse is determined to be for attorney's fees and other costs incurred relative to the matter. FOURTEENTH COLLATERAL AGREEMENTS: Neither the NRHA nor the auctioneer shall be bound by any oral or written agreement or alleged agreement varying from these Conditions of Sale between the buyer and the consignor unless agreed to by the NRHA or auctioneer. Any controversy or claim between the buyer and the consignor arising under any such agreement shall be a matter for their resolution. FIFTEENTH DISCIPLINARY ACTION: Any consignor, buyer or other individual or entity not abiding by the terms of these Conditions of Sale shall be considered as unsportsmanlike conduct and shall be subject to disciplinary action as set forth in the NRHA Handbook. 

NOTICE TO CONSIGNORS 

All registration papers, signed transfers, breeders' certificates, Coggins and health papers must be in Sale Office files at least 24 hours prior to the sale session. If coggins paperwork is not completed, the horse will not be sold and appropriate fees will be charged to the consignor. All radiographs must be submitted to the Asteris Repository by November 25. If radiographs are not submitted, horses will not be sold and appropriate fees will be charged to the consignor. Stalls and hip numbers are assigned by the sale company and cannot be changed by the consignor. Do not remove hip numbers from horses once they have been applied. Catalog updates must be turned into the Sale Office three hours prior to the session in which they sell. You are responsible for the accuracy of your horse's catalog page. Please verify engagements, sire, dam, and other commitments, and report any errors to the sale company for announcement upon immediate receipt of this catalog. Persons acting as agents must so indicate on the Acknowledgement of Purchase and file an Agent's Authorization form satisfactory to National Reining Horse Association, at least 12 hours prior to sale session. Horses need to be in assigned sale stalls at least 24 hours prior to the sale session. 

NOTICE TO BUYERS 

All accounts must be paid in cash or cash equivalent at time of sale, unless satisfactory credit has been established whereby personal checks can be approved. Satisfactory credit can be established by way of a letter of credit from the bank and proper identification. All accounts not paid within ten (10) days after the date of the sale may bear interest at the rate of eighteen percent (18%) per annum. Cost of collection, including attorney's fees, will be assessed to the buyer. No bank drafts will be accepted. All registration papers will be withheld until payments clear the bank. All returned checks will be immediately turned over to the Oklahoma County District Attorney's office and charges will be filed. In addition, there is a $50.00 charge for all returned checks. Inspect horses prior to purchasing. Veterinary assistance is available at bidder's expense on request to the sales company. Please contact the Show Veterinarian through the sales office. All horses in this sale have been required to have been tested for equine infectious anemia (Coggins Test) within six months of sale date. All potential bidders who cannot be present at the sale(s) are encouraged to make arrangements to bid with an agent attending the sale(s). Phone bid arrangements must be made with NRHA prior to the beginning of the sales. Unless announced otherwise, all eligibility payments due after the date of sale are the responsibility of the buyer, who should promptly notify the proper associations of the new ownership in order to receive direct billing. Pay close attention to all announcements made from the sales office and the auction stand, especially concerning horses on which you intend to bid. Please, leave hip number on all horses and leave horses in original stalls. A new halter will be furnished by NRHA in the sales office at time of check out.