When it comes to buying and selling properties, one of the most commonly misunderstood concepts is timber rights. The official definition of timber rights is “the rights to fell, cut, remove, sell and dispose of growing or dead trees, whether standing or fallen, and any part of such trees, and any other vegetable growth, and includes the right to remove gravel and other road-making materials.”
Anybody buying or selling property in Texas needs to understand the legislation involving timber rights. Below are some common questions people have regarding Timber Rights in the state of Texas.
Does Texas law require a bill of sale for timber sales?
Yes, it does – Texas law stipulates that a bill of sale is required when selling or buying:
- In-wood chips.
- Finished wood products;
- Logs or pulpwood from a woodyard, transfer yard, mill site, or storage yard
- Nursery trees
However, logs or pulpwood with a commercial value of lower than $250 will be exempt from the bill of sale requirements.
What Should Be Included in the Bill of Sale?
Bills of sale can be a part of any formal sales contract, as long as the following is included:
- The name of the landowner, the seller, and the purchaser
- A complete description of the survey or tract of land
- A detailed description of the timber items
- A warranty from the seller that they are the lawful owner of the timber products and that there are no liens, claims, or demands of any other third party
- The signature of the seller.
What are the consequences of non-compliance?
Should either the seller fail to include a bill of sale or the purchaser fails to receive and keep a bill of sale for a minimum of two years, they are liable to be fined.
If any activity is deemed to be fraudulent or considered as theft, there will be severe legal consequences as per Texas laws, including hefty fines and potential jail time.
What about unauthorized cutting?
Texas law states that a court must award the owner of the standing timber the following:
- The sum of the delivered mill price of the timber.
- All reasonable expenses incurred resulting from the unauthorized harvest.
Lastly, when buying or selling property in Texas, there are many specific laws, rules, and regulations associated with timber rights. In addition, the laws are often being updated and amended, so it’s important that buyers and sellers are up-to-date on timber laws and amendments.
When it comes to rural land property sales and purchases, you need a specialized partner who can handle all the conveyancing needs and give you the best possible advice to ensure a smooth and legal property transaction.
Contact Ruple Properties today to learn everything you need to know about rural property brokerage in Texas!