Australian Trainers Association | Ata Resources Centre Tor
Trainer and Owner Reforms (TOR)
The Australian Trainers’ Association has long been an advocate for reform in this area, arguing Trainers deserve greater protections than have historically existed around financial security within the Trainer/Owner relationship.
The Trainer & Owner Reforms, which includes a prescribed process for the Trainer and Owner to engage contractually, standardised documents and agreements for use by the parties, and a tribunal established in each state to manage and adjudicate on training disputes, will be enshrined within the Australian Rules of Racing.
For a copy of the new Rules, to read FAQ’s on this subject, and to download the standard documents, please visit https://tor.racingaustralia.horse/
Members can also contact the Australian Trainers’ Association, either in person or by email with your query - we are more than happy to assist where we can.
TOR - For the Trainer, Key Aspects in details
Key aspects for the Trainer to take particular notice of include:
A Trainer must issue a Fees Notice (likened to a quotation from a tradesman) to, as a minimum, the Managing Owner. The Managing Owner is in turn, responsible under the Rules for sharing this information/document with all co-owners. It is the Trainers choice whether they also send a copy of the Fees Notice to co-owners.
Providing a Fees Notice alerts the Owner/s to the range and likely costs / expenses of owning or leasing a horse. In the absence of any concerns raised with the Trainer, it also indicates their broad acceptance of the associated financial responsibilities.
All training arrangements will be subject to a training agreement. Racing Australia has produced a Standard Training Agreement (STA) that will be the default agreement, other than where the Trainer elects to utilise an alternative TOR compliant agreement.
The reason for the introduction of a mandatory agreement is to ensure transparency and greater certainty exists within the contractual relationship between the Owner and Trainer.
Note:
It is not obligatory for the Trainer to furnish the Owner with a copy of the STA. An Owner can access the STA from the Racing Australia web site if he/she wishes to. It is the Trainer’s choice however should he or she provide a copy to the Owner/s as part of their business practice. For example, accompanying the Fees Notice, the first training fees invoice issued after 1 August 2017, or independently under cover of a letter.
It is mandatory however for the Trainer to furnish all Owners with a copy of any agreement they use as an alternative to the STA (see Alternative Agreement to Replace the STA)
The Trainer must aim to issue their training fees invoice to the Owner(s) within the first 15 days of the start of the month, for services rendered in the prior month. This will obligate the Owner(s) to pay the invoice by month end. Miss the invoice issue deadline, and the debt rolls forward to the following month!
If the Trainer adheres to this practice, the only reason the Owner has to withhold payment from the Trainer is where the Owner elects to dispute the invoice fees and charges, either in part or in full (see below).
Trainers can pursue Owners for unpaid debts, and Owners can dispute training fees and charges. The Training Dispute Tribunal (TDT) established by state PRA’s under the Rules will hear these matters.
Relevant forms (an Enforcement Action Application, Dispute Notice and Notice of Election of Hearing), along with details of the process to bring the matter before the tribunal, can be found on the Racing Australia web site.
TOR - Alternative Agreement to Replace the STA
Racing Australia has mandated a training agreement is required between a Trainer and Owner(s).
The Standard Training Agreement (STA) has been produced by Racing Australia (RA). This will operate as the default option for Trainers where they elect not to use an alternative training agreement.
In terms of an alternative agreement, RA recognises not all Trainers have the same breadth of activity or operation, nor level of financial exposure. Hence, the TOR rules sensibly allow Trainers to introduce an alternative training agreement to better suit their individual risks and trading differences. The sole requirement by Racing Australia where a Trainer exercises this right is that the alternative agreement must not contravene the TOR Rules.
Download example of an alternative ATA endorsed Training Agreement *
This Agreement is fully compliant with the TOR Rules. This document includes additional clauses to benefit the Trainer and training relationship (and Owner from a transparency viewpoint), including:
Owner Visitation to Licensed premises
Limitation of Liabilities
Owner undertakings with regard to the thoroughbred
Use of images for business promotion
Personal Property Security Act – securitisation of the asset
Broader services definition and responsibilities
* If you wish to use the ATA endorsed Training Agreement in lieu of the STA, contact the Australian Trainers’ Association so an Agreement can be personalised for your training business. Additionally, where you use this Alternative Agreement, it is mandatory for the Trainer to provide all Owners with a copy
