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Author Topic: need some info  (Read 1134 times)

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Offline coxy

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need some info
« on: July 02, 2018, 04:21:46 PM »
if I have a contract for timber harvest on a piece of property and some one cuts over the property line  do I have a right to sue also for timber theft along with the land owner 

Online Southside logger

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Re: need some info
« Reply #1 on: July 02, 2018, 04:26:32 PM »
Did you pre-buy the timber paid in full?  If so I would think you have a claim.  
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Offline coxy

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Re: need some info
« Reply #2 on: July 02, 2018, 05:04:36 PM »
no but I said what I was going to give the LO in the contract 

Offline luvmexfood

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Re: need some info
« Reply #3 on: July 02, 2018, 05:52:55 PM »
That is a tricky question. Did you own the timber or the landowner? At a minimum I think it would give you standing to renegotiate the contract with the landowner to subtract the value of the gone timber. Let him have the hassle of recouping the loss. Then again I am not an attorney and the last motel I stayed in was a Red Roof Inn.
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Offline Black_Bear

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Re: need some info
« Reply #4 on: July 02, 2018, 08:49:16 PM »
Depending on the way the contract is worded you may not own the wood yet. If you look at it like the IRS would look at it, the tree remains the property of the landowner until it is severed at the stump, then it becomes your property. Therefore, to recoup your losses you may have to sue the landowner for breach of contract, which probably isn't a logical way to go. If a client asked me this question I would defer to a lawyer.

Offline mike_belben

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Re: need some info
« Reply #5 on: July 02, 2018, 10:54:53 PM »
Wouldnt the IRS consider the transfer of ownership to occur upon payment?  I thought deduction of expenses was based on payment date, rsther than delivery date.  I could be wrong, just asking.
Revelation 3:20

Online Southside logger

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Re: need some info
« Reply #6 on: July 02, 2018, 11:25:22 PM »
I think you have what is called standing which gives you a path to sue, but you will have to show losses or damages from what you would have sold the logs for, ie profit, but honestly you are probably trying to get blood out of a stone. I would renegotiate the contract and let the land owner go after the crook. 
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Offline Black_Bear

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Re: need some info
« Reply #7 on: July 02, 2018, 11:46:00 PM »
Wouldnt the IRS consider the transfer of ownership to occur upon payment?  I thought deduction of expenses was based on payment date, rsther than delivery date.  I could be wrong, just asking.
I'm not sure? The IRS does recognize that timber becomes a taxable good or product once severed from the stump, but not sure how they would determine when the transaction actually took place. I have seen many contracts that read that the landowner owns the product (log, pulp, etc.) until he/she is paid for it, which around here is often a week or two after it goes to the mill. My analogy may not have been a good one, as the contract language may affect this situation more than IRS tax code.

Offline mike_belben

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Re: need some info
« Reply #8 on: July 03, 2018, 12:24:35 AM »
Yeah i dont have a clue.  To summarize my lifetime experience with the law, the more time and money you have available, the more the system bends in your favor and vice versa.
Revelation 3:20

Offline BargeMonkey

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Re: need some info
« Reply #9 on: July 03, 2018, 12:33:52 AM »
How much mbdft are we talking ? I'm under the impression that timber theft is convicted 110% of the time and you CAN get blood from a stone. 🤣 I would revise the contract and assist the landowner in getting their money, see how the cards fall. 


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