The Buyer should agree:
--To make full payment before the harvest begins for an exact amount and to waive claim to the timber if not cut by a specific date. There should be an exact termination date where all uncut wood becomes yours again. You may want to indicate further terms if an extension is requested.
--To protect trees not included in the sale and to allow periodic inspections to correct potential problems. Any damage should result in a rate of charge per tree defined in the contract.
--To insure that all improvements are left in as good a condition as they were before the sale. Fire prevention measures should be maintained and all state fire laws observed. Failure to do any of this would result in significant penalties.
--To hold the seller harmless against liability incurred or caused by the buyer and his operation.
--To insure a high degree of woodsmanship by maintaining proper stump heights, appropriate disposal of litter and slash, efficient utilization of all merchantable material purchased, and following all environmental and water quality guidelines according to Best Management Practices (request a copy of this from your forestry agency).
--To avoid subcontracting or assigning of any logging without your written consent.
You should not limit yourself to the above considerations. Think about other situations to include off limits areas, road and deck location and various liability insurance requirements.
Step 7 - Sample Timber Contract Template

