Bad breeder? I have no idea, because I don't what kind of dogs they're producing. They might be fantastic. I have no idea.
I just know I wouldn't touch that contract. Lindsey and I have the same allergy, lol. (I will say that I think some of my aversion is pure classical conditioning: Most of the breeders with contracts like this don't produce dogs I want to buy, hence I avoid them.)
To the OP, no one call really tell you what to look for in a breeder. If you're just looking for a pet and don't mind the contract, maybe they would have a nice dog for you. It really, really depends on what
you want and value, in the end. People have gotten dogs I wouldn't touch with a 10ft pole from breeders I wouldn't touch with a 10ft pole, and they've been very happy with them. And it's their life and their money, so it doesn't matter what I think.
It's really about whether or not the breeder: a.) produces the kind of dog you want to own and b.) treats their dogs in a manner you support and c.) has terms you can agree to. The idea that there is one type of "good breeder" is not realistic, as others have said.