The Forestry Forum

General Forestry => Forestry and Logging => Topic started by: reberly on January 07, 2005, 04:44:45 PM

Title: Log Contracts
Post by: reberly on January 07, 2005, 04:44:45 PM
I am selling a few logs this spring that I will be felling and deliverying.  I also have a few I am buying from a friend next month and I was wondering if anyone had any copies of good log contracts they might share for ideas.
Rich
Title: Re: Log Contracts
Post by: Ron Scott on January 07, 2005, 05:07:16 PM
Check the Forum Tool Box ( lower left corner) for such. MSU Extension also has a sample contract in publication form.
Title: Re: Log Contracts
Post by: Woodcarver on January 12, 2005, 10:48:05 AM
I have two small parcels in my woodlot to log, about 12 acres in total.  The parcels are being managed for aspen, so they will be clear cut. I plan to do the work myself. The cut product will be primarily pulp and aspen sawbolts. There's a scattering of other hardwood species (black cherry, red maple, basswood), but the trees are generallly not sawlog quality. I expect to sell those as pulp, also, or possibly firewood.

Like reberly I've been looking for a sample contract for the sale of cut products.  All I've been able to find are samples of contracts for stumpage sales. Does anyone know of a source for a sample contract dealing with the sale of logs on the landing? Are cut products commonly sold without a written contract?

This is my first experience with the sale of logs.  Any advice anyone has will be much appreciated.
Title: Re: Log Contracts
Post by: Jeff on January 12, 2005, 11:14:08 AM
I don't know of any time when the mill at which I work uses a contract to buy logs from a logger working on stumpage that is not ours.

However.. they have requested copies of the timber contracts from loggers we were not acquainted with when we were using our resources to pick up and haul timber from their job. Its only prudent one would only buy logs that have been legally and ethically harvested and processed.

Our mill does require prove that a logger has Workman's comp as we are not allowed to buy "uninsured" logs by our insurance provider. That can be waved if we are buying logs direct from a landowner that processed his own timber on his titled land.

Title: Re: Log Contracts
Post by: SwampDonkey on January 12, 2005, 01:25:58 PM
You can give this link a try

 Click here  (//www.klondikekonsulting.com/Website/slling_st_tmbr.pdf)
Title: Re: Log Contracts
Post by: Ron Scott on January 12, 2005, 02:51:55 PM
Use the Forum sample contract for selling standing timber as a format and modify it with clauses to cover your site specific situation and address any concerns you might have in the sale of your  logs. It should be a written agreement between the Buyer and Seller to document the terms of the transaction as intended.

Some things to cover are:
 
1) Location of your property and the cut logs
2) Products and species of logs
3) Units and your estimated volume by species and by what log scale, International 1/4, Doyle, etc.
4) Payment schedule; how and when will you be paid i.e. before the logs leave your premises. (*This is an important one)
5) Time when the logs can be be looked at and picked up
6)  How and where your property can or should be accessed to pick up the logs.
7) Liability, Workman's comp and general liability insurance.
8) If there is a dispute in the scaled volume, how will it be resolved?

You might want to put out a Log Sale Proposal and Bid Sheet in advance to prospective buyers if you are going to take bids on the logs. Cover your terms in the Log Sale Proposal so potential buyers know what they are and can bid accordingly.
Title: Re: Log Contracts
Post by: Frickman on January 12, 2005, 03:21:28 PM
reberly,

The only log contracts I've ever used have been simple bills of sale. On it would be listed every log by species, footage, grade, and price. The only legal parts of them are the payment schedule and a release stating that I have title to the logs. Both buyer and seller sign the contract. The only time I've ever had problems have been collecting money, but you'll have that in any business.