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Custom Forestry Services Agreement

Forestry and Logging · NAICS 113 · Custom Farming or Services Agreement

A Custom Forestry Services Agreement is a contract between a landowner (or timber owner) and a contractor who performs specialized services such as timber harvesting, site preparation, tree planting, thinning, or prescribed burning. Unlike a timber sale agreement, this document focuses on the services provided, not the purchase of standing timber. It is essential for forestry and logging operations because it clarifies the scope of work, payment terms, safety responsibilities, and environmental compliance. This agreement helps prevent costly misunderstandings and legal disputes on the job site, ensuring both parties are aligned on expectations and liabilities.

When you need this document

Hiring a logging contractor to perform a timber harvest on your property under a service contract (not a timber sale).
Engaging a silvicultural contractor for site preparation, tree planting, or herbicide application after a harvest.
Contracting with a specialist for thinning, biomass removal, or slash treatment to reduce fire risk.
Hiring a contractor to build or maintain forest roads as part of a larger forest management plan.
When you own timberland but want to hire a professional to execute a specific forestry practice with defined performance standards.

What the generated draft includes

Parties and property description with legal boundaries and access rights.
Detailed scope of work using industry terminology (felling, skidding, site prep, etc.).
Timeline and schedule, including weather delays and force majeure.
Payment terms, including amount, basis, invoicing, and retainage.
Insurance and indemnification clauses tailored to logging risks.
Compliance with OSHA, state BMPs, and environmental regulations.
Termination and dispute resolution provisions.

Frequently asked questions

How is a Custom Forestry Services Agreement different from a Timber Sale Agreement?

A Timber Sale Agreement transfers ownership of standing timber to a buyer, and payment is based on the value of the timber. A Custom Forestry Services Agreement pays a contractor for the performance of a service (like logging or planting), and the landowner retains ownership of the timber or the resulting product. This agreement is used when the landowner wants to control the harvest and pay a contractor for their expertise.

What insurance should a forestry contractor carry?

A forestry contractor should carry workers' compensation insurance (required in most states if they have employees), general liability insurance (typically $1 million per occurrence), and automobile liability for vehicles used in the operation. The agreement should require the contractor to name the landowner as an additional insured on their policies.

Can I use this agreement for a prescribed burn?

Yes, but you must include additional provisions for liability, smoke management, and compliance with state burning permits. Prescribed burning involves significant risk, so the agreement should clearly allocate responsibility for fire control and any damage to adjacent properties. Consult with your state forestry agency and a local attorney for specific requirements.

Self-help document generator: you get a structured draft based on the facts you provide. It is not legal, tax, or financial advice; verify jurisdiction-specific rules before sending.