ZOHAR ARABIANS 2002 BREEDING CONTRACT                                                         Page One

DEFINITIONS OF TERMS AND CONDITIONS CONTAINED WITHIN THIS BREEDING CONTRACT:

1. LIVE FOAL:    A foal that survives 72 hours.

2. LIVE FOAL GUARANTEE: If the foal does not survive 72 hours provided the death is not due to accident or injury unrelated to the foaling process, as certified in writing by a licensed veterinarian within one week of such determination and it is provided to the Breeding Farm within thirty (30) days thereafter, the Dam of this foal may return the Breeding Farm the following year to be re-bred at NO CHARGE unless circumstances apply as listed in paragraph titled "RE-HANDLING FEE", in which case the fee shall be equal to 20% of the stud fee at the time of the original booking, if she meets re-breeding requirements contained within this contract. A LIVE FOAL GUARANTEE shall pertain only to mares who are pronounced safely in foal at 45 days and again at 60 days by a licensed veterinarian, and a copy of each exam has been sent via registered mail to the Breeding Farm or Stallion Owner within 10 days of the Mares examination. A LIVE FOAL GUARANTEE IS VOIDED IF LOSS IS DUE TO RHINOPNUEMONITIS and no fees will be refunded.

3. HANDLING FEE: All pre-paid full price breeding fees will include Handling Fees. Introductory breedings are not considered full price breedings therefore handling fees are not included. Breedings that are not pre-paid will require a 150.00 handling fee payable when the mare arrives to be bred.

4. RE-HANDLING FEE: ZOHAR ARABIANS shall be paid a non-refundable re-handling fee for any live cover re-breeding: (a) if the mare was not checked in foal at 45 and 60 days in the original breeding season, or (b) if the mare failed to conceive despite multiple exposures to the stallion for the remaining season following arrival. This re-handling fee shall be in addition to and not credited toward any booking fees or stud fee.

Re-Handling Fee: $150.00.

5. RE-BREEDING: If a mare bred to a stallion owned co-owned, or leased by ZOHAR ARABIANS fails to produce a live foal (one that survives 72 hours), provided the death is not due to accident or injury unrelated to the foaling process, as certified in writing by a licensed veterinarian within one week of such event and it is provided to ZOHAR ARABIANS within thirty (30) days thereafter, and the Customer has fulfilled the requirements listed under "LIVE FOAL GUARANTEE", ZOHAR ARABIANS will provide a re-breeding the following season. This breeding is available only for the same mare or a substitute approved of by ZOHAR ARABIANS and any mare re-bred must have a current acceptable Health Certificate and must have been deemed by a licensed veterinarian to be in acceptible condition for breeding and producing a healthy foal. All additional requirements stated in the original breeding contract will also apply.

6. AVAILABILITY OF STALLION: If for any reason the stallion is not available to ZOHAR ARABIANS the following season, this contract is terminated due to the unavailability of said stallion, and no refunds will be made, however, if so desired by the Manager or Owner of ZOHAR ARABIANS , the services of another stallion may be substituted. However, we will do our best to fulfill your expectations to produce the foal you desire.

7. BOOKING FEE: The Booking Fee is included in the Full Price and Discounted Breeding Fees. The Booking Fee shall consist of one tenth of the full price breeding fee or one fouth of discounted breeding fees, payable upon validation of this contract. Complimentary breedings will require a Booking Fee of 100.00 to reserve your breeding and will be listed within the Breeding Contract. All Booking fees are non-refundable.

8. GELDING INCENTIVES: Applicable for foals conceived from the purchase of Full Price Breedings only.

ONE HALF PRICE RE-BREED: At such time the stallion colt that has been foaled as a result of the purchased full priced breeding is gelded before it's third birthday providing that same colt has not been bred or allowed to sire any progeny, the Mare (dam) may return to the Stallion (sire) to be re-bred at the rate of one-half of the published breeding fee the year the colt is gelded plus a rehandling fee which shall be equal to 10% of the stud fee at the time of the current booking, provided she meets the re-breeding requirements contained within this contract. You must present a signed veterinarians' statement or certificate as proof of gelding procedure, or the Mare (dam) will not be bred.
FREE RE-BREED: At such time the stallion colt that has been foaled as a result of the purchased full priced breeding is gelded before it's first birthday providing that same colt has not been bred or allowed to sire any progeny, the Mare (dam) may return to the Stallion (sire) to be re-bred without paying a breeding fee. A re-handling fee which shall be equal to 10% of the stud fee at the time of the current booking, provided she meets the re-breeding requirements contained within this contract. You must present a signed veterinarians' statement or certificate as proof of gelding procedure, or the Mare (dam) will not be bred.

PREFERRED CUSTOMER RATE: The same mare may be bred back to the same stallion within the following year at a discount of 20% of the original Full Price Breeding Fee. All original guarantees chosen by the customer will apply as before. Any new mare bred to any new stallion will pay the full Breeding Fee the first time unless arrangements have been made in writing.

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ZOHAR ARABIANS BREEDING CONTRACT                                                                 Page Two

1.  PARTIES: THIS AGREEMENT is made this _____ day of ___________, ______, by and between ZOHAR ARABIANS , Miller County, Arkansas; mailing address P.O. Box 297, Genoa, Arkansas 71840
and _______________________________________________________________________________, hereinafter referred to as "Customer" whose address is: ______________________________________________________________,
______________________________________________________________,
telephone number _______________________________ Other: _____________________________.

2.  MARE: This contract pertains to the following mare:
Name of Mare:_________________________    Sire: _______________________
Dam:_________________________________    Reg. No. _____________________
Date Foaled: ___________________________    Color: _______________________
Insurance Carrier: _______________________________________________________
Amount: $_____________________________    Expiration: ___________________

3.  OWNERSHIP:    Customer: (Mark One)
( )    has full title and registration
( )    leases the mare
( )    manages the mare
( )    has purchased the mare on installment contract with the final payment due
    _____________, 20 ____, and full title and registration are currently held by:
    ______________________________________________________________
    ______________________________________________________________
    ______________________________________________________________

4.  MARE CARE: Customer hereby contracts for MARE CARE services to be rendered at _______________________ ____________ for a base fee of $_________ per day or
$__________ per day with foal, plus such additional fees and expenses described below as may apply.

5.  BREEDING: Customer contracts to breed this mare to NR NAJA MONIET,

Registration #__________________________, standing at the WESTWIND TRAINING CENTER during the 2000 breeding season. The stud fee shall be $______________.
CHECK ONE: One tenth ( ); One half ( ) of the total or _________________________      ($_________), is a non-refundable booking fee for this breeding, payable upon the execution of this contract. The balance of the breeding fee shall be paid when the mare delivers the foal unless other arrangements have been agreed to in writing herein.

6.  GUARANTEES: THIS BREEDING CONTRACT CARRIES THE FOLLOWING GUARANTEES and / or INCENTIVES:    CHOOSE ONE:  (please initial the guarantee desired)                        
(     )    LIVE FOAL GUARANTEE              (      )    GELDING INCENTIVE 
(     )    OTHER (explain)      _____________________________________________________________________________
______________________________________________________________________

ZOHAR ARABIANS will execute a breeding certificate for the resulting foal only when the entire balance has been paid in full.

7. VET CARE: ZOHAR ARABIANS is authorized to maintain and provide vaccinations, foot care, regular breeding cultures, uterine biopsies and other veterinary needs, including emergency surgery, at it's discretion, at Customer's expense.

8. VACCINATIONS: Customer warrants that the mare is free from communicable diseases upon delivery to location of ZOHAR ARABIANS. On or prior to arrival, the Customer shall provide a certificate for a negative Coggins Test made within 30 days prior to arrival and may be requested to produce a record of current vaccinations for Strangles, Equine influenza [A1, A2 and EVH4], Rhinopnuemonitis, Tetanus, Sleeping Sickness and Rabies. If the mare arrives without records of such vaccinations and test, ZOHAR ARABIANS reserves the right at it's option not to accept the mare or provide the vaccinations and test at the Customer's expense. ZOHAR ARABIANS WILL REQUIRE A HEALTH CERTIFICATE, EVIDENCE OF A CLEAN VAGINAL CULTURE (taken during extrus) AND A CURRENT NEGATIVE COGGINS TEST UPON ARRIVAL OF MARE.

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ZOHAR ARABIANS BREEDING CONTRACT                                                                 Page Three

9.  LIMITATION OF LIABILITY AND INDEMNIFICATION:
ZOHAR ARABIANS AND ITS AFFILIATES, AGENTS, SERVANTS AND EMPLOYEES SHALL NOT BE LIABLE FOR ANY SICKNESS, DISEASE, ASTRAY, THEFT, DEATH OR INJURY THAT MAY BE SUFFERED BY THE MARE WHILE IN CUSTODY OF ZOHAR ARABIANS , nor for any other loss, damages or injury arising out of or connected with breeding, boarding, conditioning, training foaling or other services pursuant to this contract. Customer fully understands, authorizes and assumes the special risks inherent in breeding and transporting horses, and acknowledges that mortality and other insurance is solely Customer's responsibility. ALL IMPLIED WARRANTIES, INCLUDING FITNESS, MERCHANTABILITY OR OTHERWISE, AND ALL SPECIAL, INCIDENTAL AND CONSEQUENTIAL DAMAGES ARE HEREBY EXCLUDED, to the full extent permitted by law. In no event shall Customer's remedy exceed the amount of the fee paid for the service complained of. Neither ZOHAR ARABIANS or  property owners where located, shall be liable for any personal injury or disability which the Customer or his agents, representatives, family or property may receive while on premises occupied by ZOHAR ARABIANS . Customer agrees to indemnify and hold harmless ZOHAR ARABIANS and  property owners where ZOHAR ARABIANS may be located, for any claim related to damages, illness or injury caused by all animals and persons, and from any claim by an agent or owner of any animal, and agrees to pay all expenses and attorney's fee incurred by ZOHAR ARABIANS and property owners where ZOHAR ARABIANS may be located in defending such claims.
   
10.  ACCEPTANCE: This contract is not effective until approved and executed by ZOHAR ARABIANS , which reserves the right to reject any horse at it's sole discretion, and to return any unruly horse at Customer's expense. ZOHAR ARABIANS reserves the right to discontinue any service program within fifteen (15) days notice to Customer. No refunds will be made.

11.  RELEASE: Customer agrees that all outstanding balances due for board, breeding, veterinary care, farrier work and all other fees, charges and expenses, pursuant to this contract shall be paid prior to ZOHAR ARABIANS release of the mare unless agreed upon in writing. Customer shall make arrangements for the mare's removal from ZOHAR ARABIANS at least 48 hours in advance. Customer is solely responsible for determining whether the mare is sufficiently healthy to be moved and for obtaining any necessary blood tests, vaccinations and health certificates, whether through ZOHAR ARABIANS veterinarians or otherwise. Upon commencement of loading of the mare for shipment, Customer assumes full responsibility and releases ZOHAR ARABIANS and it's agents, representatives or family from all responsibility and liability for the mare's health, soundness, breeding condition, transportation and care.

12.  ENTIRE AGREEMENT; CONSTRUCTION; JURISDICTION; ATTORNEYS FEES:     
This contract contains the entire understanding of all parties concerning its subject matter, and may be modified only in writing except as otherwise provided. Headings are for convenience only and not part of the contract. The invalidity or unenforceability of any term or provision shall not affect the validity or enforceability of the remainder. The contract shall be construed and governed by the laws of Arkansas. At ZOHAR ARABIANS option, jurisdiction and venues for disputes connected with this contract shall be proper only in Miller County, Arkansas. If a lawsuit is filed with respect to this contract, the prevailing party shall be entitled to collect all reasonable attorney's fees and costs, unless otherwise provided for herein.

NOTICES: All notices, requests and consents required or permitted by this contract shall be in writing, signed and personally delivered or mailed by registered or certified U.S. Mail to the appropriate address specified or such other address of which the sender has been given written notice.

THIS CONTRACT VOID IF NOT RETURNED WITH SIGNATURE WITHIN THIRTY DAYS OF THE DATE IN PARAGRAPH ONE.
Notice by mail shall be deemed complete when mailed.

CUSTOMER     

By:___________________________________    / Date signed: ___________    


By: __________________________________    / Date signed: ___________


ZOHAR ARABIANS :

By:___________________________________ / Date signed: ____________
Authorized Agent