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<div class=3DSection1>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>BREEDING CONT=
RACT -
SKIPAROULA<o:p></o:p></b></p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>This agreement is made on ___________, 2-____ between =
<b
style=3D'mso-bidi-font-weight:normal'>JQ Farms</b>, </p>

<p class=3DMsoNormal><span class=3DGramE>herein</span> referred to as the A=
gent,
and _____________________, herein</p>

<p class=3DMsoNormal><span class=3DGramE>referred</span> to as the mare own=
er. In
consideration of the mutual promise contained herein, the parties agree as
follows.</p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>The agent shall breed the following mare(s) to<b
style=3D'mso-bidi-font-weight:normal'> SKIPAROULA</b>, according to the APHA
guidelines.</p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Mare&#8217;s
Name____________________________________________________________<o:p></o:p>=
</b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Breed________=
___________________________________________________________<o:p></o:p></b><=
/p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Registration
Number_____________________________________________________<o:p></o:p></b><=
/p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Year_________=
________________<o:p></o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><o:p>&nbsp;</=
o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Mare&#8217;s
Name_____________________________________________________________<o:p></o:p=
></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Breed________=
___________________________________________________________<o:p></o:p></b><=
/p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Registration
Number______________________________________________<o:p></o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Year_________=
__________________</b></p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>The mare owner in consideration of the breeding servic=
es <span
class=3DGramE>provided,</span> shall pay the stud fee of $ 1000, which incl=
udes a
non-refundable booking fee. The booking fee ($ 250) is to be paid upon the
execution of this contract, with the balance of $ 750 plus all unpaid board=
 and
expenses to be paid in full when the mare is picked up. Balances outstanding
after the due dates are subject to finance charges at the rate of 1.5% per
month (18% per year).</p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>The Agent agrees that should said mare subsequently not
produce a live foal that can stand and nurse, the stud fee, not including t=
he
handling fee, will be carried forward to the next breeding season. Mare own=
er
must provide a satisfactory veterinary certification to that effect within =
five
days of foaling or abortion of the foal. The veterinary certificate must al=
so
state the said mare was properly vaccinated against <span class=3DSpellE>Rh=
inopneumonities</span>.</p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>It is further agreed that if the stallion dies or beco=
mes
unfit for service before breeding the mare, the full stud fee will be refun=
ded.
Should any mare named in this contract die prior to breeding or become unfit
for breeding, the mare owner may substitute another mare in its place. This
contract shall not be assigned or transferred to another individual or
corporation. The breeding contracted for by this document may be used only =
on
the mares (s) named above unless the Agent gives prior written authorizatio=
n,
except as specified above. The Mare Owner agrees to assume the risk of inju=
ry,
sickness or death to said mare and/or foal at side and further agrees to
indemnify and hold the Agent harmless for any loss or injury due to acts of
said mare and/or foal at side except where caused by negligence of the Agen=
t.
If the mare leaves the authorized mare care facility prior to a 45-day
pregnancy check, the Mare Owner is solely responsible for having a license
veterinarian check the mare for pregnancy between 45 and 70 days of gestati=
on.
A copy of the results of that examination, signed by the veterinarian, must=
 be
forwarded to the Agent.</p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>The Agent contracts separately with providers for vete=
rinary
and <span class=3DSpellE>farrier</span> services. The Mare Owner is respons=
ible for
said charges incurred on behalf of the mare during the breeding process. All
such charges will be due and payable prior to the mare&#8217;s departure fr=
om
the authorized mare care facility. It is understood that if these chares are
not paid, a Certificate of Breeding will not be issued for the mare, and the
&quot;live Foal&quot; guarantee as started in this document shall be null a=
nd
void. </p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>The Mare Owner hereby grants the Agent a lien on, and
secured interest in, the mare and foal produced by breeding to SKIPAROULA to
secure payment of all obligations and amounts due under this contract. Fresh
Cooled Semen &#8211; In addition to the stud fee, Mare Owner agrees to the
following for each shipment of semen:</p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>Mare Owner shall notify Agent as soon as mare comes in=
to
heat and twenty-four (24) hours prior to shipment date to fit into breeding
schedule. Semen will be shipped normally via UPS priority overnight. If
Saturday service is not available in your part of the country, Commercial
Airline Service will be used. Agent shall not be held responsible for costs
arising from shipments lost, damaged or delayed in transit. This contract s=
hall
be binding when executed. </p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>This contract shall be executed in and interpreted und=
er the
laws of the State of <st1:State w:st=3D"on"><st1:place w:st=3D"on">Californ=
ia</st1:place></st1:State>.
In any action arising out of the provisions of this agreement, the prevaili=
ng
party shall be entitled to reasonable attorney&#8217;s fees and costs. </p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal>A party shall be deemed a prevailing party for the pur=
pose
of this agreement if judgment is rendered in his or her favor or where the
litigation is dismissed in his or her favor prior to, or during the trial,
unless the parties otherwise agree to the settlement or compromise.</p>

<p class=3DMsoNormal><o:p>&nbsp;</o:p></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><o:p>&nbsp;</=
o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Signature of =
Mare
Owner Date___________________ Executed on: ____________<o:p></o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><o:p>&nbsp;</=
o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Mare Owner Pr=
int Name
_________________________________________<o:p></o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><o:p>&nbsp;</=
o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Mailing Addre=
ss
City/State/Zip______________________________<o:p></o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><o:p>&nbsp;</=
o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>Home Phone Nu=
mber
____________________<o:p></o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'><o:p>&nbsp;</=
o:p></b></p>

<p class=3DMsoNormal><b style=3D'mso-bidi-font-weight:normal'>JQ
Farms__________________<o:p></o:p></b></p>

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