Answer

well you are certaintly within your rights to seek the return of your property or equivalent compensaiton to replace it. As long as it was clear that it was a loan and not a gift etc. then their actions are unjustified and illegal. If they are not willing to compensate you through informal actions (e.g. letters, phone calls) then you could file a small claims suit, and you probably should because this is not a trivial amount of money and they apparently have not acted in good faith. You should seek the value of replacing the saddle, as well as fees incurred in trying to get it back etc. Before filing suit, you could write a letter that threatens legal action if you are not reimbursed by a specified time....that could work, and prefereably have that letter written by an attorney (which should be very easy and quick) or at least reviewed by one. best of luck