If someone pays SFB for Pete and gets a bill of sale, for many purposes that’s all the documentation the buyer needs for any next steps. If it doesn’t matter to the buyer that there is no proof of the prior transaction, then it doesn’t matter. Pete will have been money-laundered into legitimacy, as it were.
We don’t have brand inspection in Texas and no other gov’t requirements for a bill of sale that I have ever known of. As far as my own experience, I’ve never known a buyer to ask a seller for proof the seller owns the horse. I’ve never had to show my bill of sale.
But auctions and racetracks and so forth in Texas may have that requirement. Virtually all of the 254 counties in Texas have a livestock auction that runs weekly or monthly.
That said, who gets a new horse without some manner of bill of sale showing that they own the horse, especially if they immediately plan to travel across state lines with said horse? If someone just handed him Pete behind the auction barn to get Pete off their hands, who takes a horse so old and worthless for use that he’s a giveaway to be the pack horse for a cross-country journey? I mean I know who, but just sayin’. 