Sample Timber Sale Contract Template

This Contract Template Should Be Used Only as an Example

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After your potential timber sale has been shown and all bids are received, you should notify the highest acceptable bidder and arrange to execute a written timber contract. Use the sample template below only to flesh out the first draft of your contract. The information you collect in the draft process will be used so this exercise is not wasted effort. Always have it reviewed by both a forester and a lawyer, and abide by their suggestions for changes and fine tuning.

 A word of warning: always be careful when using a sample timber sale contract. Do not duplicate it word for word. It's easy to copy an example thinking that it will cover all of your conditions, but in many cases, it will not be adequate. Here are a few reasons below:

  • State forestry and environmental laws differ and a contract should be specifically written to reflect those differences.
  • Conditions of the sale are never the same from one sale situation to the next. These conditions should be custom detailed in every contract.
  • Property located in and around the sale area may be subject to damage. Language in the contract should indicate penalties if damage to that particular property should occur.
  • Your legal ownership status -- individual, partnership or corporate -- may not be the same from one sale to the next and should be implied through the contract.

The following template will start you in the right direction toward creating just the right contract. 

Sample Timber Sale Contract


This contract made and entered into this __day of__ ,20__ by and between __of__ , hereinafter referred to as the seller, and__ of__ , hereinafter referred to as the buyer agrees to purchase from the seller the designated timber from the area described below.

I. The tract of timber located in Section__ ,Township __ , Range __ , County__ , State__.

II. The trees designated for cutting _______________________

NOW THEREFORE THIS AGREEMENT WITNESSETH:
The seller for and in consideration of the sum of $___ on or before ___ to be paid in advance of cutting as required by the seller.


THE BUYER AGREES:
1. To cut only the trees marked with paint.
2. To make payment for each tree unnecessarily cut or wantonly injured at treble the bid price for that species.
3. To leave all streams and all public road right-of-ways free of logs, brush, and other obstructions.
4. To assume liability for damage to fences, crops, cropland, and other property.
5. To travel to and from and work in the timber only when the ground is firm.
6. That all timber included in this agreement shall remain the property of the seller until paid for in full.
7. That the buyer has inspected the area and timber concerned, has estimated to his/her own satisfaction the quantity, quality, and value of the timber to be removed and accepts the goods with all faults.
8. Unless an extension of time is granted by the seller, this contract shall terminate on (date) after which all logs and trees remaining on the tract revert to the ownership of the seller unless otherwise specified in paragraph 9.
9. Special provisions:


THE SELLER FURTHER OFFERS AND THE BUYER AGREES:
1. To enter upon and allow access to the above described tract for the purpose of cutting and removing therefrom such timber as is included in the terms of this contract.
2. To guarantee title to the forest products covered by this agreement and to defend it against all claims at the seller's expense.


In witness whereof, the parties hereto have executed this contract this ___ (month), ___ (day), 20__(year).

Signature of Seller___________ Signature of Buyer____________
Post Office Address __________ Post Office Address __________
Witness ______________________ Witness ______________________