Loaning of Purebred Sires Regulations — 3
3 (1) The Director, on behalf of the Department, may loan an animal to an association for the purpose of breeding for stock improvement if (a) the association makes application therefor in the form prescribed by the Director, and (b) each member of the association executes an agreement with the Director containing the terms and conditions referred to in subsection (2). (2) The agreement referred to in subsection (1) shall contain the following terms and conditions: (a) the association shall keep the animal in good physical condition and shall provide satisfactory accommodation for the animal; (b) the association shall provide the services of a caretaker who will undertake the proper care of the animal; (c) if, in the opinion of the Director, the caretaker carries out his duties in an unsuitable manner, the Director may require that the association replace the caretaker or return the animal to the Department; (d) if an animal requires veterinary treatment, the association shall obtain the services of a qualified veterinarian at its own expense, but the Department will indemnify the association in respect of the costs of the treatment if it is established to the satisfaction of the Director that such treatment was required as a result of an illness or debility from which the animal was suffering at the time of the delivery of the animal to the association; (e) the association shall advise the Director immediately of any sickness of, or accident to, an animal, and whether the condition of the animal is serious; (f) if, in the opinion of the Director, an animal is not receiving proper care or is not being properly used, the Director may require that the association return the animal to the Department; (g) the members of an association shall be jointly and severally liable to the Department for the loss of, or damage to, an animal as a result of any breach of the agreement or for negligence on the part of a member of the association; (h) the Director may, as he sees fit, limit the use of an animal; (i) the terms of the agreement apply to any animal that the association receives in exchange from another association; (j) with the approval of the Director, the association may exchange with another association in the same area the animal loaned to it by the Department for an animal loaned to the other association by the Department; (k) the Department shall pay the cost of transporting an animal loaned to an association to the shipping point nearest the association and the cost of returning the animal from the shipping point nearest the association; and (l) the association shall pay all costs other than the costs referred to in paragraph (k) in connection with the loaning of the animal including the cost of stabling the animal after it is unloaded at the shipping point, the cost of moving the animal from the shipping point to the place at which the animal is to be kept by the association, the cost of keeping the animal, the cost of transporting the animal from one association to another association and when the animal is returned to the Department the cost of moving the animal to the shipping point nearest the association. (3) The agreement referred to in subsection (1) may be for a period not exceeding six years.