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Beware
of Timber Scams
Many
landowners become victims of unscrupulous timber
buyers/loggers/timber companies. The majority of people employed in
the timber industry are good, honest, and hardworking people.
However, as in any business, there are those that willingly engage in
unethical practices. The timber industry is very complex with a wide
range of product, species, and pricing variables. The complex nature
of the timber industry gives opportunity to those that desire to
exploit unknowing landowners. It is important that forest landowners
educate themselves or consult with a professional that can help
oversee their timber management activities. There are professional
organizations and government agencies that maintain lists of
reputable Consulting Foresters that are capable of helping landowners
with the management of their resource.
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Some
links to organizations that maintain lists of reputable Consulting
Foresters are: |
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The following are
some common issues that forest landowners are faced with and should
beware of: |
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Beware of
individuals that claim to be "Consulting Foresters" that
are actually not. Many Landowners are aware of the benefits of hiring
a "Consulting Forester" to assist with the management of
forest lands. Unfortunately there are individuals that recognize this
and portray themselves to be "Consulting Foresters", when
in reality they are either "timber buyers" or simply lack
the credentials to use the title of "Consulting Forester".
"Consulting Foresters" do not buy/procure timber from
landowners; they oversee the management and sale of timber products. |
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Be wary of so
called consultants that offer free services. While a "Consulting
Forester" may offer a free initial consultation, they will
charge for any further professional services. Professionals generally
need to earn some form of income in order to survive. If a landowner
is not paying a professional for forestry services, then that means
that someone else is paying for their services. This means that the
professional is working on behalf of someone else (i.e. sawmill,
logging company, him/herself), rather than on the Landowner's behalf.
Some timber companies do employ reputable "Procurement
Foresters" to purchase timber for them, however, it is important
that a landowner know the difference between a "Timber Buyer/Procurement
Forester" and a "Consulting Forester". Basically, the
"Timber Buyer/Procurement Forester" works on behalf of the
timber company, and the "Consulting Forester" works on
behalf of the landowner. |
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Beware of high
pressure tactics to get you to sell your timber. Unscrupulous timber
buyers often use high pressure tactics or make it seem as though they
are doing you a favor in order to get you to sell them your timber.
Claims made by timber buyers such as the following should raise
concern with Landowners: "Your timber is full of bugs and will
die or be worthless tomorrow", "Your timber is full of
bugs; if you don't cut it now, the Government will cut it and not pay
you", "The market is changing fast and your wood will be
worthless tomorrow", "Only I can give you a deal like
this", "You will never have an opportunity like this
again", "You should be ashamed of yourself for not managing
your woodlot", "You don't need to have an attorney review
that contract." |
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Beware of
coincidences with unscrupulous timber buyers. Often times timber
buyer's work together in groups, and have a system in which each
person approaches the landowner separately, giving the impression
that they are all separate companies. Each individual may raise the
price offered, or use a different sales pitch. The flurry of interest
can give the landowner the impression something really special is
happening with markets, or simply wear them down. The tactics used by
unscrupulous timber buyers can vary greatly, and range from simple to
complex. Oftentimes timber buyers already know a great deal about a
landowner before they approach them so that they know what to say in
order to get the Landowner to sign a contract. |
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If you are feeling
pressured into selling and are not sure what to do, you should tell
the individual that you need time to think about it. A true
professional should understand and accept your need to think things
through. This will also give you the opportunity to do some
additional research to ensure that you make the right decision. For
many people, a timber sale is a once-in-a-lifetime experience. It is
important that the job is done properly, as there is more to timber
management than just cutting trees. Making bad decisions in regards
to timber management could be something a landowner will have to live
with the rest of their life. |
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A "Consulting
Forester" or "Timber Buyer" should be willing to
provide references for his/her work. If their work is as good as they
claim; they should have a few clients that are willing the talk about
their experiences. While a "Consulting Forester" or
"Timber Buyer" may want to be sure a landowner is serious
about their desire to manage their timber before giving out contact
information for their clients, they should be willing to do it before
any contracts are signed. Do not hesitate to validate the references.
Some dishonest "Timber Buyers" freely give out fake
references, assuming that a Landowner will not actually verify them. |
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Landowners should
always sign a detailed contract if they choose to sell their timber.
All agreements should be in writing, and not just verbal. Timber sale
contracts should not be vague. At a minimum, a timber sale contract
should include the parties that are entering into the agreement (i.e.
buyer/seller shown legibly with verified addresses), the terms of
payment, the contract payment, how many trees or what volume of trees
will be harvested, how the trees are identified for harvest,
contractor insurance requirements, the length of the contract, any
special provisions (i.e. no rutting, smoothing of roads, etc.), etc.
It's a good idea to have your attorney review any timber sale
contracts before signing. The money spent to do so may save you from
making costly mistakes. If you are working with a "Consulting
Forester", they will make sure that you have an appropriate contract. |
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