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Forestry and Logging · NAICS 113 · Harvesting Services Contract
A Harvesting Services Contract is a legally binding agreement between a timber owner and a logging contractor that outlines the terms and conditions for cutting and removing timber from a specified property. In the forestry and logging industry, this contract is essential to protect both parties' interests, clarify expectations, and mitigate risks associated with logging operations. It covers critical aspects such as payment terms, insurance, liability, environmental compliance, and the scope of work. Without a well-drafted contract, disputes can arise over payment, damage to property, or failure to follow sustainable forestry practices. This template is tailored to the unique needs of timber harvesting, including provisions for stumpage rates, logging methods, and adherence to state-specific Best Management Practices (BMPs).
Lump sum payment is a fixed amount paid for the timber, regardless of the actual volume harvested. Per-unit payment is based on the measured volume of timber removed, such as per thousand board feet (MBF) or per ton. Lump sum transfers more risk to the contractor, while per-unit aligns payment with actual production.
BMPs are guidelines to protect water quality and soil during logging operations. Including them in the contract ensures the contractor follows environmentally sound practices, which can help the landowner avoid regulatory penalties and maintain forest health.
A logging contractor should carry general liability insurance, workers' compensation insurance, and possibly equipment insurance. The contract should specify minimum coverage amounts and require proof of insurance before work begins.
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