TOPIC: Ginseng Agreement/Contract

This is an agreement that I came up with for when I grow ginseng on someone else's land. I am by no means an attorney. However, I have used this \"Ginseng Agreement\" and it has worked thus far. I have tried to consider many things that could happen when I came up with the wording.

If you are limited on the amount of woods that you own like I am, then you may want to consider growing ginseng on someone else's land as I am.

If you want to use this Ginseng Agreement feel free. You may want to change some of the wording to fit your needs. I hope this is a useful starting place if you were thinking of an agreement.

Once again please note that I am not an attorney and I am not professing to be an expert at writing an agreement. You may want to get your own agreement drawn up by an attorney which would not be a bad idea.

I do like the idea of getting the property owner to agree to sharing some of the net profits verses paying an annual land lease fee.

It is a good deal for both the land owner as well as the grower in my opinion.

I hope the attachment comes through.
Thanks,
Latt

This is the attachment I meant to post with the binding agreement. Please disregard the previous attachment on the previous posting by me.
Thanks,
Latt

Is it very easy to find someone to agree to this? And don't you worry that they will want to dig without you?

mhowa

mhowa,
It is not very hard to find someone like this if you approach them right. Also you want to go with you gut on your first impression if you are just meeting them. Hopefully you would not have to negotiate with a stranger in the endeavor. Try family and friends first if they have the right type of woods for it. However, I do have some ginseng planted with a fella my wife and I met that owns a garden nursery business. We were talking about morel mushroom hunting when my wife and I were buying some of our veg garden plants early in the spring. He mentioned he had some really nice woods. We talked a bit and then I introduced my idea to plant some ginseng in his woods. You will know if it is the right fit or not when you talk to someone about it. If it feels wrong then it probably is so I would look for another spot. My conversation went well and I laid some ground work this summer with a few short conversations. Then I called him back in the fall and we discussed it a bit more. He is sort of laid back and I did not pressure him either. So it was a good fit and I put in 4 lbs in the first planting, then 3 lbs in the second planting late this fall and early winter of 2010. I trust him and he trust me thus far and I do not foresee any problems. I am not worried about him digging any up or I would not have planted it there. However there is always a chance it could happen but if you pick and choose correctly I think the chances are slim that something will go wrong.
I hope that helps.
Latt

Latt, Thanks for posting that contract, its really useful to see your approach. I keep thinking that this might be the best way to grow a ginseng business. It definitely keeps land costs down, and allows you to keep your eggs in many baskets. The offer of 50% gives the landowner an incentive to keep things quiet and not to sell or timber their land. It also allows you to pick out the highest quality, most secure, small pieces of land to concentrate efforts in, rather than having to take what's available on your own land, or having to buy. I agree if you have a decent relationship with the person, the risk isn't them digging it up.

I'd be really interested to hear if others on the board go this route. If so, do you offer 50% of the profit? Do you rent the land at a set amount per year?

vafiddler

In regards to your Question:

\"I'd be really interested to hear if others on the board go this route. If so, do you offer 50% of the profit? Do you rent the land at a set amount per year?\" vafiddler

I'm fortunate to have 30 acres of my own to plants seng on. Unfortunately not all of it is good for growing. Most of my seng is planted on my property and a small amount is planted on 100 acres connected to my property that is owned by a lady that lives in Alaska. I have her permission to grow on this property. I have not made any agreement to share profits with her when I harvest. The thing that keeps running through my mind is: What if she sells the land before I harvest all the roots growing on her land. I could buy the land from her. But I would only want to buy the land that has my roots growing and land that is suitable for growing seng. I hope she never decides to sell the land.

I guess a contract would be a great way to go if your planting on someone elses land. But If they decide to sell their land, your at risk of loss if you don't buy the land yourself.

Good Point!

Latt- Good idea about having a contract!

classicfur

Classicfur and anyone else interested.
Not to change the subject (to late) but you had mentioned the lady that owns the property next to you is from Alaska. This reminded me about Alaska and I have always wondered if ginseng would grow there. Have you ever researched growing ginseng in Alaska. If not I can understand why as it is a long ways away. I have always been intrigued about growing ginseng in Alaska for some unknown reason. I have attempted to read up on it but there does not seem to be much information on it. I saw one place where there is a small island where a guy was growing ginseng in Alaska and I found the article and have pasted the link below:

capitalcityweekly.com/stories/010511/out_765835360.shtml

The reason I ask is I have heard the soil in Alaska is rich and loamy. I know there are ginseng farmers way up North in the Pacific Northwest, BC, Canada, Ontario etc and that is pretty far North.
However, there is not much mentioned about Alaska.

If one searches the internet about \"Alaskan Ginseng\" it most often refers to a plant known as Devil's Club. Devil's Club is not ginseng for anyone that is interested.

I like the new show called \"Gold Rush\" on the Discovery Channel on Friday nights at 10:00 PM. It is a story about some guys that go to Alaska to to hit it rich mining gold.It is one of my favorites and ranks up there with Pawn Stars, American Pickers and American Choppers to name a few on my favorite list.

Anyway there is so much virgin wooded wilderness in Alaska and I just wonder if anyone is trying to grow Wild Simulated Ginseng there. Remote land is extremely abundant and is extremely cheap. I have seen where remote land can sell from a nickle an acre up to $200 per acre.

How cool would it be for a group to go in on some Alaskan acreage and plant some ginseng on it and then go back in 10 to 15 years to dig it.

Sounds far fetched I know but it would be a cool adventure and I do not think you would have to worry about ginseng poachers much either. It may also serve as a great place to do some remote wild game hunting for Bear, Dear etc.

Yea this post was way off topic but what heck. lol
Thanks,
Latt

Latt

I just don't know about that. The guy in that article was groing it back in 1919. That was a while ago. I believe that in general, the growing season would be too short to grow as quick as we grow them in the USA.

I know that as far north as I am in Maine. And the amount of snow pack that we get, my seng does not start emerging until May 15-31. I'm lucky if the tops of my plants are up and growing til the 15th of Sept(4 months or less). I would think that in AK with the snow pack they get and then the first frost coming very early, that the plants probably grow for 3 months or less. Perhaps the high nurient soil would make up for the short growing season.

Interesting thought.

Thanks
classicfur

Nice layout and simple... very good paper contract.

I am also in a verbal contract with a landowner here in he mountains of NC. He and I have known each other for many years, neither of us want a paper contract. As mentioned above, it;'s a good fit.

Since the State of NC recongnizes a verbal contract sealed with a handshake as legally binding, the paper contract was not important.

Whitjr,
That's great and makes sense. You might want to take the contract I had sent thou and change the state to NC and identify the land you have planted on. Have both of you sign it and date it. Then let him keep it on file at his place. Reason being if ginseng in NC ever gets placed on the endangered species list as it is in some states this would be good proof that the ginseng was planted by you and is not \"Wild Ginseng\". Then if \"Wild Ginseng\" was banned you would still be able to dig your \"Wild Simulated\" for eventual sale.

This was one of the reasons I had written the contract as well.

Thanks,
Latt