Proving again that the truth is stranger than fiction...
I’ll be picking out a specific case out of the hundreds
I’ve worked on in the past years and give you a brief
rendition of the facts and outcome. And, I may cover pertinent equine related topics.
Taking advantage of situations that have occurred to others may lead
you to say things to yourself like, “Boy I’m glad
that didn’t happen to me!” Anyway, for sheer entertainment
value, you’ll like them.
After reading the Blog, please
feel free to call or e-mail with any questions or comments. Although I will not be taking comments on this blog, your feedback is welcomed. Archived Blogs available at this link.
NAES BLOG - March 2019
As so many of you know, I’ve been in the horse-related legal consulting business for over 35 years. So I thought I would explain my background and just a few things which have changed the horse world.
Fortunately, being somewhat older horse enthusiast, I’ve been involved with many breeds and disciplines so I was not surprised when, creating a book on the many breeds and disciplines I’ve evaluated, the count was over 30.
Because knowing a little bit about so many breeds has given me a broad perspective on just what attracts folks to each breed.
I actually started riding then showing American Saddlebreds, (You know, the ones with a high tail set), then it was moving on to former racing Thoroughbreds to learn, show then
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train to be good examples in the growing hunter and jumper shows.
Then in the late 1960’s to the 80’s the advent of the various European Warmblood horses started to sweep the United States, and for good reason............. they were quiet, easier to ride than the ex racehorses which scared many amateurs and children.
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The reason I bring this up is to show the huge influence the “Warmblood” type of horse had on the horse show world; “It was huge.”
As soon as trainers figured out how to train these totally different types of horses, more amateur riders got into the habit of going to more shows and actually participating so much more in the horse show scene.
I’ll try and explain a few more things which have affected the horse world and naturally money has had a large influence on the market. |
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I can recall standing at the back gate of a large New Mexico show and discussing how the oil market had kept a large number of top level junior riders from being at that particular show.
Around 1986, Congress revised the tax code yet again which contributed to huge problems in the Arabian Horse Show market. That breed was particularly effected owing to the removal of the ability of Arabian horse owners who use to claim a passive loss.
So sitting around the bridge club tables and bragging about how much money their Arabian stallion was worth after their passive loss horse’s value had dropped from $500,000.00 to $5,000.00 or less within the space of one year.
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That all meant that the practice of purchasing fancy Arabians immediately after they had been exhibited in a super ARABIAN NIGHTS PRODUCTION, choreographed by the likes of Mike Nichols. Those days were gone.
It also meant that the Arabian horse trainers had to learn to actually train and ride like a true professional should.
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The rumor had always been that the Arabian horse show trainers had been made by getting the misfits from the other horse breeds who were very slick at selling the “feed ‘em and lead ‘em” show horse, (This referred to the halter horse show classes which didn’t require actually riding the horse, just leading the horse into the ring).
There may have been some truth to those and similar stories especially since the Arabian Horse Association, which controlled the specific requirements necessary to be ranked the top Arabian in the world, required the bare minimum of performance to enable the horse to be sent to the very top. Naturally, the top Arabian trainers who would charge as much as $10,000.00 just to lead the horse into the ring at Scottsdale or the Arabian Nationals, plus the top Canadian Nationals in Regina. (Oh, those were wild times!).
So while the Arabian breed had been suffering their many, mostly self-imposed problems, the American Quarter Horse market was developing by leaps and bounds where the multi-day events were running literally all day and night.
Unfortunately, the poor quarter horse was being abused by unscrupulous owners and trainers as well as the occasional licensed vet who had been creating “Better Living Through Chemistry” by giving drugs which would slow the horse down even more.
It was also not uncommon for the super Quarter horse to be found in his stall after having several gallons of blood drawn to “slow the horse down.” |
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This and other cruel and horrible procedures were used to change the way the horse actually performed.
The American Quarter Horse Association had left the American Horse Shows Association to be on its own which made sense because what with huge numbers of foals being produced every year, they needed to be run separately. What roll the AHSA had in running shows for the rest of the focused on the huge Hunter and Jumper section of the market and included some of the other breed associations.
The Tennessee Walking Horses had been literally kicked out of the AHSA owing to the continuing cruelty to these wonderful horses by means of soring the horse’s front legs to encourage the really “high-Stepping” running walk.
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It had gotten so bad that the United States Department of Agriculture had gotten into the act by assigning a SQP, (Designated Qualified Person), who’s job was to examine each horse’s front legs immediately following each show class.
The aim, of course, was to make sure the soring practices were gone for good. |
Of course, “the good ‘ol boys” held secret, (and still continue), shows which were by invitation only and enabled the soring of these nice horses to continue without the FEDS “sticking their nose into places where they didn’t belong.”
Now one would think that true horsemen and horsewomen would themselves police these shows that promoted the horrible practice of “soring,” the use of a caustic solution on the front of the horse’s cannon bones. The horses with sored front legs would “pick the affected legs higher,” thus showing a “brilliant fancy action.” |
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Well, I’m about done relating my “horse story” so far to the beginning of the “warmblood” takeover in the hunter/jumper horse show era. Other breeds changed as well and next month, I’ll recount just how the Arabian, American Saddlebred, American Quarter Horses and other smaller breeds were changing and the effect these changes had on the equine business.
Please send any comments or questions and I would love to address any concerns you might have. Have a great month and appreciate the horse GOD created just for you, and good luck.
Archived Blogs - at this link
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NAES is the leader in multiple breed equine appraisals. We can give you the most accurate and professional qualified appraisal in the industry. more...
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| David D. Johnson operates North American Equine Services,
LLC as its President and CEO. The company, based in Phoenix,
Arizona specializes in litigation consulting, related activities
and horse appraisals for the legal and insurance communities
and has been doing so for the past 30 years throughout North
America. more... |
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As a licensed official with the United States Equestrian Federation (USEF), Mr. Johnson fully supports and promotes the organization’s efforts with the safety and welfare of horses and riders. The USEF has instituted a Safe Sport Policy available at this link.
Questions and answers regarding the USEF Policy are available as FAQ’s at this link. NAES has had similar policies in place since its inception.
NAES clients expect absolute confidentiality in their dealings with our firm. more... |
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March 2019
Tax season is coming up. Be sure that you and your CPA review Section 183 of the IRS tax code which outlines nine items deemed necessary when claiming your horse business deductions.
“Heads up” regarding Section 183 of the IRS Code, factor #2 examines "The Expertise of the Taxpayer or His Advisors”; document what you have learned and put in place throughout the year to run your horse business profitably to meet IRS requirements. |
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