If you pay a breeding fee, you get the foal. You are responsible for all costs associated with breeding and caring for your mare (unless the stallionowner offers free mare care while the mare is at his farm being bred, or etc.)
Some stallion owners will offer a free breeding to a mare owner when they are trying to get offspring of their stallions "out there", especailly if the mare is a really high quality mare, the owners show and promote their horses, etc. In this case the mare owner keeps the foal and will be responsible for everything but the breeding fee (unless the stallion owner offers free mare care, etc.)
Some stallion owners want to "lease" mares, so that they can get foals from their stallion for themselves without buying broodmares (or as many.) Sometimes the lease is a "care lease", meaning that the stallion owner keeps the mare at his facility and pays all her upkeep, and in exchange for caring for her for a certain length of time, gets the foal. Sometimes part of the agreement is to send the mare home bred.
Sometimes there is a "foal swap" where the mare owner keeps the mare at their place, when the mare is bred two years in a row, and one year one party gets the foal, the next time the other party gets the foal. Since the mare owner is paying for the upkeep of the mare the whole time, they usually get the first foal, or get "choice" of whether to take the first foal or wait for the next one.
So, those are some options. All of the above require excellent constant communication and detailed written contracts to really have the best chance of working out in everyone's best interest.
I have no idea what the stallion owner you know has in mind, but I am assuming he wants you to breed your mare and pay a stud fee-- maybe give you a "deal" if she's a nice mare. Its not unusual for stallion owners to go soliciting for mares to come in and be bred-- they don't usually want the foals, they want a breeding fee and they want more mare owners to see those nice foals so more mares get booked the next year, and etc.
Last edited by Eastowest; 11-05-2009 at 10:01 PM.
Reason: forgot a part