I "spoil" my horses rotten. They are out on pasture, have grass 24/7, get a bucket of high quality feed every single day, have lots of fresh, clean water and are kept current on all their preventive maintenance type things. They have shelter during bad or hot weather. In return I expect them to: stay out of my space unless invited in, keep their faces to themselves, their feet on the floor and teeth behind closed lips. If they will maintain those simple respect things, then we can go for long, exploratory rides, get groomed and all the scritchy spots scritched, get fed the odd treat every now and then and they'll have a great home for life, if they're my personal riding horse.
If they can't maintain respect and keep feet and teeth to themselves, they get reprimanded on a sliding scale that starts fairly benign and ends up with a good whacking or kick. If they persist, they get sold.