CHAPTER 151. PROVISIONS GENERALLY APPLICABLE

NATURAL RESOURCES CODE

TITLE 6. TIMBER

CHAPTER 151. PROVISIONS GENERALLY APPLICABLE

SUBCHAPTER A. BILL OF SALE FOR PURCHASE OF TREES AND TIMBER

Sec. 151.001. REQUIRED BILL OF SALE. Before purchasing or

accepting delivery of any trees, timber, logs, pulpwood, or

in-woods chips, a seller shall provide and a purchaser shall

require a bill of sale for the trees, timber, logs, pulpwood, or

in-woods chips executed by the seller. The bill of sale may be a

part of, a compilation of information taken from, or an addendum

to, by way of example, a timber deed, scale ticket, weight

ticket, cutting contract, harvest agreement, wood purchase

agreement, or other records of the sale and purchase made at the

time if all the information required by Section 151.002 is

included.

Acts 1977, 65th Leg., p. 2645, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Renumbered from Sec. 151.041 and amended by Acts

2001, 77th Leg., ch. 532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.002. INFORMATION IN BILL OF SALE. (a) The bill of

sale, which may be filed of record in the appropriate real

property records, shall at a minimum include:

(1) the name of the:

(A) owner of the land from which the trees, timber, logs,

pulpwood, or in-woods chips were or are to be obtained;

(B) seller, if the seller is not the owner of the land; and

(C) purchaser;

(2) a description of the survey or tract of land from which the

trees, timber, logs, pulpwood, or in-woods chips were or are to

be obtained, or information from which the identity of that tract

of land may be ascertained, but in any event including the county

name;

(3) a general description of the trees, timber, logs, pulpwood,

or in-woods chips conveyed in the bill of sale; and

(4) representations and a warranty from the seller that the

seller is the lawful owner of all the trees, timber, logs,

pulpwood, or in-woods chips conveyed in the bill of sale and that

the trees, timber, logs, pulpwood, or in-woods chips are free and

clear of all liens, security agreements, encumbrances, claims,

demands, and charges.

(b) The purchaser of trees, timber, logs, pulpwood, or in-woods

chips conveyed in the bill of sale may, and is entitled to, rely

on the information required to be provided by the seller to be

incorporated into the bill of sale, as well as on the

representations and warranty of the seller.

Acts 1977, 65th Leg., p. 2645, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Renumbered from Sec. 151.042 and amended by Acts

2001, 77th Leg., ch. 532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.003. RETENTION OF BILL OF SALE. A person that

purchases trees, timber, logs, pulpwood, or in-woods chips shall

retain the bill of sale for not less than two years following the

later of the date of execution of the bill of sale or the

expiration date referenced in the bill of sale.

Acts 1977, 65th Leg., p. 2645, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Renumbered from Sec. 151.043 and amended by Acts

2001, 77th Leg., ch. 532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.004. NOTICE CONCERNING SALE OR PURCHASE OF TREES OR

TIMBER. At each designated point of delivery for trees, timber,

logs, pulpwood, or in-woods chips, a wood yard, transfer yard,

mill site, or storage yard shall post the following written

notice in lettering not less than one inch:

NOTICE CONCERNING SALE OR PURCHASE OF TREES OR TIMBER

1. A seller or purchaser of trees, timber, logs, pulpwood, or

in-woods chips who knowingly fails to provide, obtain, or retain

a bill of sale as provided in Chapter 151, Natural Resources

Code, is guilty of a misdemeanor and on conviction is subject to

a fine of not more than $500 for each offense.

2. A person, firm, partnership, or corporation adjudged guilty of

theft or fraud in connection with the sale or purchase of trees

or timber will be punished as provided by the Penal Code.

3. The Texas Forest Service Timber Theft Hotline is

1-800-364-3470.

Acts 1977, 65th Leg., p. 2645, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1989, 71st. Leg., ch. 1248, Sec.

85(5), eff. Sept. 1, 1989. Renumbered from Sec. 151.044 and

amended by Acts 2001, 77th Leg., ch. 532, Sec. 1, eff. Sept. 1,

2001.

Sec. 151.005. PENALTY. (a) A seller or purchaser who knowingly

fails to provide, obtain, or retain a bill of sale as required by

Sections 151.001, 151.002, and 151.003 is guilty of a misdemeanor

and on conviction is subject to a fine of not more than $500 for

each offense.

(b) A wood yard, transfer yard, mill site, or storage yard that

knowingly fails to post the notice concerning sale or purchase of

trees or timber as required by Section 151.004 is guilty of a

misdemeanor and on conviction is subject to a fine of not more

than $500 for each offense.

Acts 1977, 65th Leg., p. 2646, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Renumbered from Sec. 151.045 and amended by Acts

2001, 77th Leg., ch. 532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.006. APPLICABILITY. This subchapter does not apply to

the sale of:

(1) finished wood products;

(2) logs or pulpwood from a wood yard, transfer yard, mill site,

or storage yard;

(3) trees from a nursery; or

(4) trees, logs, or pulpwood with a commercial value of less

than $250.

Acts 1977, 65th Leg., p. 2646, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Renumbered from Sec. 151.046 and amended by Acts

2001, 77th Leg., ch. 532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.007. PENALTIES CUMULATIVE. A penalty provided by this

subchapter is in addition to a penalty provided under other law.

Added by Acts 2001, 77th Leg., ch. 532, Sec. 1, eff. Sept. 1,

2001.

Sec. 151.008. CIVIL LIABILITY. Nothing in this subchapter shall

be construed to affect the liability under any other statute or

under common law, provided that failure to comply with the

provisions of this subchapter shall not, by itself, create civil

liability.

Added by Acts 2001, 77th Leg., ch. 532, Sec. 1, eff. Sept. 1,

2001.

SUBCHAPTER B. UNAUTHORIZED HARVESTING OF TIMBER

Sec. 151.051. DAMAGES FOR UNAUTHORIZED HARVESTING. (a) A

person who harvests standing timber with knowledge that the

harvesting is without the permission of the owner of the standing

timber and a person who causes another person to harvest standing

timber without the permission of the owner of the standing timber

are jointly and severally liable to the owner for damages in an

amount equal to three times the market price of the timber

harvested without permission.

(b) Payment of damages by a person under this section does not

preclude a prosecution of the person under Section 151.005.

(c) This section does not apply to the trimming or clearing of

trees in the vicinity of a utility line or right-of-way.

Added by Acts 1997, 75th Leg., ch. 562, Sec. 1, eff. Sept. 1,

1997. Renumbered from Sec. 151.101 and amended by Acts 2001, 77th

Leg., ch. 532, Sec. 1, eff. Sept. 1, 2001.

SUBCHAPTER C. PAYMENT FOR TIMBER PURCHASED

Sec. 151.101. DEFINITION. In this subchapter, "timber

purchaser" means a person who purchases standing timber for

harvest.

Added by Acts 1997, 75th Leg., ch. 562, Sec. 1, eff. Sept. 1,

1997. Renumbered from Sec. 151.151 by Acts 2001, 77th Leg., ch.

532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.102. MONEY COLLECTED FOR TIMBER AS TRUST MONEY. Money

a timber purchaser collects for harvested timber is trust money.

Added by Acts 1997, 75th Leg., ch. 562, Sec. 1, eff. Sept. 1,

1997. Renumbered from Sec. 151.152 by Acts 2001, 77th Leg., ch.

532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.103. TIMBER PURCHASER AS TRUSTEE. A timber purchaser

and each officer, director, partner, or agent of a timber

purchaser are trustees of trust money.

Added by Acts 1997, 75th Leg., ch. 562, Sec. 1, eff. Sept. 1,

1997. Renumbered from Sec. 151.153 by Acts 2001, 77th Leg., ch.

532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.104. BENEFICIARY OF TRUST. Each seller of standing

timber is a beneficiary of trust money to the extent of the

beneficiary's share of the purchase price for the timber.

Added by Acts 1997, 75th Leg., ch. 562, Sec. 1, eff. Sept. 1,

1997. Renumbered from Sec. 151.154 by Acts 2001, 77th Leg., ch.

532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.105. OFFENSE. (a) A trustee commits an offense if the

trustee, knowingly or with intent to defraud, directly or

indirectly retains, uses, disperses, or otherwise diverts more

than $500 of trust money without first fully paying all of the

beneficiaries the purchase price for the timber.

(b) A trustee acts with intent to defraud if the trustee

retains, uses, disperses, or diverts trust money with the intent

to deprive a beneficiary of trust money.

(c) A trustee is presumed to have acted with intent to defraud

if the trustee does not pay all of the beneficiaries the purchase

price for the timber not later than the 45th day after the date

the trustee collects money for the timber.

(d) An offense under this section is a state jail felony.

Added by Acts 1997, 75th Leg., ch. 562, Sec. 1, eff. Sept. 1,

1997. Renumbered from Sec. 151.155 by Acts 2001, 77th Leg., ch.

532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.106. DEFENSES TO PROSECUTION. It is an affirmative

defense to prosecution under this section that:

(1) the trustee paid the beneficiaries all trust money to which

the beneficiaries were entitled not later than the 15th day after

the date written notice was given to the trustee at the trustee's

most recent address known that a criminal complaint has been

filed against the trustee or that a criminal investigation of the

trustee is pending; or

(2) two or more persons claim to be beneficiaries of the same

trust money, and the trustee has deposited the amount of the

disputed trust money into the registry of the district court of

the county in which the standing timber was located by action in

interpleader or other appropriate legal proceeding for the

benefit of persons the district court determines to be entitled

to the trust money.

Added by Acts 1997, 75th Leg., ch. 562, Sec. 1, eff. Sept. 1,

1997. Renumbered from Sec. 151.156 by Acts 2001, 77th Leg., ch.

532, Sec. 1, eff. Sept. 1, 2001.

Sec. 151.107. ELECTION OF OFFENSES. If conduct constituting an

offense under Section 151.105 is an offense under another law of

this state, the state may elect the offense for which it

prosecutes the trustee.

Added by Acts 1997, 75th Leg., ch. 562, Sec. 1, eff. Sept. 1,

1997. Renumbered from Sec. 151.157 and amended by Acts 2001, 77th

Leg., ch. 532, Sec. 1, eff. Sept. 1, 2001.