If penalties are incurred due to excess damage or failure to comply with the contract, that portion of the bond is forfeited to the seller. Once again, the greater the bond amount required, the less attractive your timber may be to a prospective buyer. Sometimes you and the buyer may not be able to agree on whether or not the contract has been fulfilled. This dilemma can usually be resolved by appointing an impartial third party as an arbitrator. The arbitrator can evaluate the contract clause in question and the evidence on the ground and usually offer a settlement agreeable to both parties without resorting to a court action.
Arbitration can save both time and money for the buyer and seller.
Logging Clauses Logging clauses detail the specific desires of the buyer and seller. These clauses can be of any degree of detail, but once again, the more detailed the logging clauses, the more costly it will be to harvest your timber, and you may receive lower stumpage prices from the buyer. Ingress and Egress. The buyer has the right of ingress and egress for his or her employees and equipment to the timber tract. That is, the buyer has the right to enter and to leave your property with all the people and equipment necessary to do the job.