Many people that I encounter throughout the horse world have a misconception regarding the breadth of our limited liability law as well as the purpose of these laws throughout the country.
While legislation differs from state to state, typical coverage states:
"Warning: Under _________ law, an equine sponsor or equine professional is not liable for an injury to, or the death of, a participant in equine activities resulting from the inherent risks of equine activities."
For most states, this language must be included in exculpatory agreements and posted in a sign. Even with this kind of legislation, equine sponsors or professionals can always be sued (which is why insurance is strongly recommended), and can still be liable if the injury, death or damage does not result from an "inherent" risk, but rather results when an equine professional or sponsor provides faulty tack or equipment, fails to determine the participant's actual abilities, owns or leases land with a dangerous latent condition, intentionally or willfully causes the injury, or in some states negligently causes the injury.
Generally speaking, the Limited Liability Laws were designed to serve a variety of purposes, including: encouraging continued existence of equine-related activities, facilities and programs; providing the equine industry important defenses in litigation; creating a sense of predictability for the equine industry such that persons and organizations can better foresee circumstances that may lead to liability; encouraging the use of exculpatory agreements such as waivers and releases; educating the public prior to participation in equine activities about the inherent risks and immunities that may bar litigation; allowing for more cases to be summarily dismissed through summary judgment.
These laws are not "zero liability laws." While the laws have led to dismissal of some cases, overall the laws do not, and were not intended to make liability obsolete. Today, 43 states have some form of limited liability statute, and another several are considering legislation.
In Minnesota, where this author resides, in the recent legislative session new legislation was considered, but not passed. Consideration will be given again to new legislation next session. I would encourage all equine enthusiasts to become educated on the legislation in their state, review proposed legislation, and consider providing support to the process. To get involved, call local Horse Council.
In particular, businesses in the equine industry should consider supporting legislation while simultaneously practicing risk management. Risk management for individual clients vary, but includes such common practices as developing a comprehensive safety program, utilizing written contracts and exculpatory releases, as has been discussed in previous articles. I encourage you to work with an attorney familiar with equine practices to develop a customized plan that best suits your needs.