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Custom Grazing Agreements

In a custom grazing arrangement one person owns the cattle and another owns the grass. A clear written agreement keeps both sides on good terms when the weather turns or an animal gets sick.

How custom grazing works

The cattle owner sends animals to graze on someone else's land, and the landowner or grazier looks after them for a fee. Payment can be by the head, by the day, by the pound of gain or by some other arrangement agreed in advance. Stockers, replacement heifers and cows are all grazed this way.

It can give a landowner income from idle grass and give a cattle owner access to forage without owning more land. It only works well when expectations are spelled out.

Landowners and cattle owners should both know the other's goals. A grazier who wants fast gain and a landowner who wants grass protected can still agree, but only if they talk it through first.

Put it in writing

Handshake deals work until the first disagreement. A written agreement, ideally reviewed by an attorney who knows agricultural law in your state, protects everyone. Rules on contracts, liens and liability differ by state, so do not copy a form from another place without checking.

Both parties should keep a signed copy and a dated record of changes agreed along the way.

What the agreement should cover

The more detail you settle up front, the fewer arguments later. Questions to answer in writing include:

Walk through the list together and write the answers beside each item, then sign and date the page.

• Who owns the cattle, and who is responsible for them day to day
• Start and end dates, and what happens if the grass runs short
• Number and class of animals and acceptable condition
• Payment amount, schedule and how gain or death loss is handled
• Who provides and maintains fences, water, mineral and handling facilities
• Who checks the cattle, how often and how problems are reported
• Who pays for veterinary care and who decides on treatment
• Insurance, liability and who may enter the land

Animal health and record keeping

Agree on the health program before the cattle arrive: vaccinations, parasite control, and who calls the vet. Decisions about treatment should be made with a veterinarian, and any treated animal must be held through the withdrawal time on the label or set by the vet before it goes to market.

Keep identification, treatment and movement records, and give both parties access. Animal identification and movement rules vary by state, so ask your state department of agriculture or the state veterinarian what applies.

Decide how sick or injured animals are handled, including when one should be sorted off and who has the final word if the owner cannot be reached.

Grass, fences, water and stocking

A good agreement sets a stocking level that suits the pasture and says what happens if drought or poor growth means cattle must come off early. Overgrazing damages the landowner's grass for years, so a clear trigger for moving cattle protects the land.

Walk the fences and water together before cattle arrive. Note any problems in writing so repairs are assigned and the grazier is not blamed for old damage.

Handling emergencies and ending the deal

Cattle get sick, break fences and sometimes die. Decide in advance who is called, who pays and how a death is reported and documented. If a disease you must report is suspected, the vet, the state veterinarian or USDA APHIS must be contacted right away, and nobody should handle a suspect carcass without their direction.

Set out how either side can end the agreement, how much notice is needed and how cattle are gathered and shipped at the end.

Agree on how often the owner may visit, since handling and checking the cattle together builds trust and catches problems sooner.

Common mistakes and what to ask

Common mistakes include vague terms, no plan for drought, no agreement on who pays the vet, and no record of how fences and water looked at the start. Ask an agricultural attorney to review the agreement, ask your insurance agent about coverage for livestock and liability, and ask your extension office for sample agreements and stocking guidance. This is general information and not legal advice.

Revisit the agreement each year before cattle go out, and update anything that has changed, such as fence, water or the number of animals.

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• Cover Crop Grazing Systems
• Regenerative Grazing Basics
• Annual Forage Calendar for Ranches
• Drought Planning for Cattle Ranches
• Wildlife and Cattle on Shared Rangeland