Following his execution for murder in 1702, Thomas Busby's remains were hanged from a gibbet opposite the inn. The inn takes its name from the post or stoop on which his remains could be seen. His ghost tells the story.
Inside the inn was a chair, it's said it's cursed so anyone who sat in it died a terrible death. Today it's placed on a wall in Thirsk Museum. In the link below you can see it in The Cottage Kitchen.
But you can see the chair on the sign of the inn.
Today the Busby Stoop Inn is the most haunted inn in Yorkshire.