Hardwood Matters November 2017

Page 1

N ove m b e r 2 01 7

H A R DWO O D M AT T E R S T H E VO I C E O F T H E H A R DWOO D I N D U ST RY

Where There's A Will There's A Way T H E O F F I C I A L P U B L I C AT I O N O F T H E N AT I O N A L H A R D W O O D L U M B E R A S S O C I AT I O N S T R O N G R O O T S . G L O B A L R E A C H . | W W W. N H L A . C O M


Unsurpassed Quality, Broad Product Line & Prompt Service Our Building Blocks for Over 110 Years

Pike Brand Hardwoods

®

®

P.O. Box 247 Akron, Indiana 46910 Sales@PikeLumber.com www.PikeLumber.com

(800) 356-4554 (574) 893-4511 (574) 893-7400 fax


Rules Corner

features 12 Where There's A Will There's A Way READER SERVICES President’s Message CEO's Message Educational Calendar

Instant TOP POST OF THE MONTH at facebook.com/NHLAOfficial National Hardwood Lumber Association Hipster before hipster was cool! #hipster #lumberjack #funfriday

Join our online community! W W W. N H L A .CO M

CONTENTS

Alumni Notes

WHAT'S INSIDE

6 8 18

november 2017

16

11 Inside NHLA

13

10 DEPARTMENTS

Family Business

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

3


H A R D W O O D M AT T E R S T H E VO I C E O F T H E H A R DWO O D I N D U ST RY

November 2017 ▪ Issue 184 National Hardwood Lumber Association PO Box 34518 ▪ Memphis, TN 38184-0518 901-377-1818 ▪ 901-382-6419 (fax) info@nhla.com ▪ www.nhla.com

EXECUTIVE COMMITTEE Brent Stief Huron Forest Products President

THE MISSION OF NH LA To serve NHLA Members engaged in the commerce of North American hardwood lumber by: maintaining order, structure and ethics in the changing global hardwood marketplace; providing unique member services; promoting North American hardwood lumber and advocating the interest of the hardwood community in public/private policy issues; and providing a platform for networking opportunities.

Nordeck Thompson Thompson Appalachian Hardwoods Rules

Pem Jenkins Turn Bull Lumber Co. Past President 2014-2016

Orn Gudmundsson, Jr. Northland Corporation Structure

NHLA STAFF

Mike Powers Maley & Wertz Industry Advocacy & Promotion

Lorna D. Christie CEO l.christie@nhla.com Amanda Hinesley Digital Marketing Specialist a.hinesley@nhla.com

Jennifer VanDyke Marketing Manager j.vandyke@nhla.com

■■■ Trisha Clariana Office Manager Desirée Freeman Controller Julia Ganey Member Relations Manager Rich Hascher Inspector Training School Instructor

ADVERTISER INDEX 13 Dunavant

9

Thompson Appalachian Hardwoods

7

King City/Northway Forwarding

11

U•C Coatings

IFC

Pike Lumber Company, Inc.

14 VisionTally

5

TJT Consulting

Jack Shannon J.T. Shannon Lumber Co. Unique Services

Darwin Murray McClain Forest Products Vice President

Renee Hornsby Director of Communications/Editor r.hornsby@nhla.com

For advertising inquiries: Contact John Hester, Director of Membership at j.hester@nhla.com or 901-399-7558.

MISSION LEADERS

John Hester Director of Membership and Business Development Carol McElya Accounting Assistant & Publications Becky Miller Inspector Training School Administrator Dana Spessert Chief Inspector

Kevin Gillette Tioga Hardwoods Membership & Networking COMMITTEE CHAIRS Dave Mayfield Mayfield Lumber Co. Membership Dave Bramlage Cole Hardwood, Inc. Promotion & Advocacy Jon Syre Cascade Hardwood LLC Convention Pem Jenkins Turn Bull Lumber Co. Nominating Steve Jones Ron Jones Hardwood Sales, Inc Inspection Services Orn Gudmundsson, Jr. Northland Corporation Finance Bucky Pescaglia Missouri-Pacific Lumber Co., Inc. ITS/Continuing Education Stephanie VanDystadt DV Hardwoods, Inc. Communications & Marketing Jeff Wirkkala Hardwood Industries, Inc. Member Value Joe Snyder Fitzpatrick & Weller, Inc. Rules Darwin Murray McClain Forest Products Strategic Planning

4

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

W W W. N H L A .CO M


W W W. N H L A .CO M

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

5


PRESIDENT’S MESSAGE

THE NHLA HAT It’s that time of year again . . . the NHLA Convention is over and the holidays and a new year are just around the corner. It’s the time of year, when we often stop to reflect on the past year, what we accomplished, lessons learned and our opportunities and challenges moving forward. It’s also time to welcome NHLA’s newest Board members, Rob Cabral of Upper Canada Forest Products, Darrell Keeling of Northwest Hardwoods, Brin Langmuir of Falcon Lumber, Jimmy Lee of Tides and Times, Jordan McIlvain of Alan McIlvain Lumber Co., Joe Pryor of Oaks Unlimited, Rich Solano of Pike Lumber and Ray White of Harold White Lumber. I can’t think of a better group of members to join the other industry leaders on the NHLA Board. It’s been a year since I assumed the role as President of the NHLA Board of Managers. When I was first elected, I received questions about my “Presidential agenda.” It was hard for me to answer, because I don’t think in terms of “agendas.” I think more in terms of the commitments that I, and the Board, need to make to serve our membership effectively. As I think back over our results from this past year, I am comfortable in saying that we made progress on our commitment to listen to our members better. Now while that may sound overly simplistic, we all know that the President’s role is to represent a big industry, one that often has very diverse and passionate views. We are also an industry in transition. Volumes are starting to grow but are still nowhere near their peaks of 15-20 years ago. Exports continue to be an ever-increasing share of our grade volumes. Our member ownership is still consolidating, albeit at a slower pace. NHLA has grown membership after many years of small declines. And our convention in Nashville had record attendance and the largest exhibit hall in our history. So we have lots to be excited about! The results of the member survey conducted early this year has helped us ask better questions. And our latest Strategic Planning Committee, made up of representatives from all member segments helped us convert your answers into strategies designed to keep us moving forward. There were plenty of lessons learned along the way. Sometimes an association board has to remove the barriers no one said could be moved. And there are other times when you have to sit back and let the industry, and the market, decide for itself. Often, that is easier said than done. The recent, very passionate discussion around log exports presented a great example of the checks and balances that trade association boards must go through before deciding on what, if any action is taken. We received calls, letters, and emails from members for and against the practice. Both sides had logical reasons as to why they felt that way, and some expected NHLA to intervene. We listened carefully to all sides of the debate.

members. Every board president has an obligation to ensure that happens. Association pundits describe the responsibility best, board members must take off their “company hat” and put on their “NHLA hat” when deliberating on all issues. We can educate, we can provide a forum for discussion, but we can’t always decide for or against business practices like log exports. It is up to the individual company to decide what’s best for their business. I applaud HMR Executive and National Hardwood Magazine for providing balanced information on log exports. I know I learned a great deal about the perspectives of both sides of the issue. Pick up a copy of both publications, and listen to their answers. And as always, let us know your views. I look am looking forward to great things in 2018! Thank you again for the privilege of serving as President of the NHLA Board of Managers.

Brent Stief, NHLA President Huron Forest Products

Here comes the learning part that maybe we don’t publicize enough. When you are an NHLA board member, every vote made must be in the best interests of all NHLA 6

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

W W W. N H L A .CO M



CEO'S MESSAGE

AN UNSUNG HERO It was great seeing everyone last month at the NHLA Annual Convention. It was a record breaking event on all levels! Thanks again for your support. It was a busy three days for everyone including the NHLA staff. My agenda was packed with meetings, including my attendance at the Inspector Training School Educational Foundation Board meeting. I have the honor of serving as Secretary Treasurer of the Foundation. I have written before about my respect for the legacy created by the NHLA Inspector Training School. What started in 1948 as a great idea to help our veterans transition from the war to gainful employment now has graduates from all over the world who have left behind countless tales of how graduating from the School gave their career a direction, and made a difference in their ability to support their families. In this industry graduating from the ITS is just something you never forget. Last year during an industry event, I had the pleasure of sitting at a table full of ITS graduates. Some started their careers as lumber stackers and today they all have different job titles including senior sales representative, buyer and even president of their own company. Most had traveled extensively both domestically and globally. And while they may have been from different backgrounds, they all had one thing in common – they credited the School as the foundation for their success. No matter where I travel visiting members, I hear the same stories of their School experience. There were plenty to be heard at last months’ ITS alumni reception at the NHLA Annual Convention. Many of our graduates have taken a generational approach to their stories, as it is not uncommon for fathers, sons and daughters to attend the School. Not too long ago, I met such a gentleman who graduated in the 4th class, followed by his sons. In fact, our current class has more than one second generation of the same family in attendance. Yes, I am proud to be a part of an organization that can create such a legacy. But it was only recently that I realized that I have never really highlighted one of the School’s biggest supporters, the Inspector Training School Educational Foundation. The Foundation really is an unsung hero when it comes to the support it provides to our School. Created in 2012 by graduates of the School, ITSEF’s purpose is to support the continued development and growth of the School. The Foundation supports the School by providing scholarships to students who would otherwise not been able to attend the 12-week class here in Memphis. It is also the backer of the fantastic ITS promotional video that can be found on our website and Youtube channel. I am impressed by ITSEF's focus on the future, with its endowment fund committed to enhancing the ITS experience for future generations. The Foundation is also focused on the future of the School as seen by its commitment to assist with the purchasing and maintenance of technology relevant 8

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

equipment to enhance the students' learning experience and make sure they are ready for a changing industry. So who benefits from an ITSEF scholarship? While most of our students’ School experience is paid for by their company, we also have students who pay their own way. That includes not only the cost of tuition, but also food and lodging in Memphis for 12 weeks. That can be an expensive proposition. With School fees and food and lodging in Memphis for 12 weeks, an ITSEF scholarship award can make the difference in enabling a student to change his or her life forever. So as 2017 winds to its end, I hope you will consider supporting the Inspector Training School Educational Foundation with a donation that counts, that can help a young man or woman chart a course for their future. If you are interested in donating, please give me a call.

Lorna D. Christie, CEO 901-377-1082 direct | l.christie@nhla.com

W W W. N H L A .CO M


For more than 20 years, Thompson Appalachian Hardwoods has manufactured and exported the highest-quality Appalachian hardwood lumber and logs. With control of raw material from the forest, Thompson Appalachian Hardwoods guarantees a consistent, high-quality product from start to finish.

SPECIES A S H · C H E R RY · C Y P R E S S · H A R D MA P L E · P O P L A R · R E D OA K · WA L N U T · W H I T E OA K

S P E C I A LT I E S K I L N D R I E D H A R DWO O D S · S T E AM E D WA L N U T · E X P O RT V E N E E R LO G S · E X P O RT S AW LO G S · G R E E N O N L AT H E LUM B E R Q UA RT E R S AW N H A R DWO O D S · S 2 S · S T R A I G H T - L I N E R I P · G A N G R I P · C U S TO M S O RT I N G C U S TO M PAC K AG I N G · E X P O RT P R E P

P.O. Box 160, 100 Harless Drive PHONE

W W W. N H L A .CO M

931.469.7272

sales@thompsonappalachian.com

Huntland, Tennessee 37345 USA FAX

931.469.7269

w w w.thompsonappalachian.com NOVEMBER

2 0 1 7 H A R D W O O D M AT T E R S

9


FAMILY BUSINESS

Letting Go By Deb Houden, The Family Business Consulting Group (www.thefbcg.com)

O

ver the past four months I wrote a series of articles about the components of succession. Hopefully you gained some ideas that may help you along the way. First, I suggested you start the process of succession planning early, how transition is a process and an event. I asked you to communicate often, suggesting that you meet often on a scheduled basis with the next generation and potentially your whole family. You don’t have to have all of your ideas fully formulated, but getting communication started is crucial. The last article I wrote gave some pointers on preparing the next generation. And finally, this is my last installment on letting go.

Succession takes time, communication, preparation and letting go.

There is nothing more annoying than listening to a speech where a speaker has said, “In conclusion, . . .” and drones on for another ten minutes. She’s lost her audience and any important message that may have preceded her prolonged ending. When Senior makes plans to step aside and then pushes those plans back repeatedly, frustration becomes part of the package. This leaves Junior with a difficult choice of finding growth in other opportunities outside the family business or waiting for Dad (or mom) to leave the game. Junior becomes disenfranchised, frustrated, stunted and bitter. An equally damaging situation occurs when Dad has publicly stepped back, but undermines decisions made by Junior. The destabilization can be subtle or overt. I often liken it to a “Senior Tornado” – a very disruptive force that can come in and wreak havoc in a short period of time. Unfortunately, Senior is often trying to be helpful; yet, this same helpful person is unaware of the destruction that they cause. Senior wields a lot of power and employees may not know who to answer to. If a transition has happened, Senior needs to be very aware of comments they make, and if any employees ask them questions, they need to push back and say, “That’s Junior’s responsibility now.” Another scenario may be that Senior may secretly believe that the business cannot survive without them, so they do subtle sabotage

10

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

acts that require Senior to come in and SAVE THE DAY! Unfortunately, they ruin the day. Finally, Senior may be disenfranchised with their life now: bored, unfulfilled or missing that special place in the family, community and business that came with being the boss. As you plan your transition, also plan your life outside of it. A Senior who doesn’t let go creates a situation that can be very toxic for both the family and the business. In short, Senior needs to say he’s transitioning, and then do it. Just like the public speaker – say “In conclusion. . .”, and then conclude! Don’t drone on. Succession does not have to be complicated if there is ample time for preparation. Have a plan, but stay fluid and communicate. Communicate desires and needs, from both generations, and listen to each other. Be creative in what a succession plan may be. Junior must get appropriate knowledge, and build relationships to ensure his own success and the success of the family business. Senior needs to let go, or run the risk of alienating family and business members. Succession takes time, communication, preparation and letting go.

W W W. N H L A .CO M


INSIDE NHLA

WELCOME NEW MEMBERS June 1 - September 30

U1 ACTIVE MEMBERS WITH ANNUAL SALES LESS THAN $5 MILLION A & K Sawmill — Lowry City, MO Bohnhoff Lumber Company — Los Angeles, CA Bruggeman Lumber — Hopkinton, IA Central Kentucky Timber & Logs LLC — Sparta, KY County Line Hardwoods — Reed City, MI Damascus Sawmill — Osceola, MO Fly Creek Grade — El Dorado Springs, MO Forest City Trading Group — Portland, OR Greentree Hardwood — Flat Rock, IL Griffith Lumber Co., Inc. — Woolwine, VA Hochstetler Milling Ltd. — Loudonville, OH Meadow River Hardwood Lumber Co., LLC — Rainelle, WV Peachtree Lumber Company — Brasstown, NC Shetler Lumber Co., Inc. — Waterford, PA Tropical Forest Products — Mississauga, ON UFP International LLC — Union City, GA Wood Holley Lumber Co., Inc. — Nanafalia, AL U2 ACTIVE MEMBER WITH ANNUAL SALES $5-20 MILLION New River Hardwoods, Inc. — Mountain City, TN PARTNER MEMBERS Asiawood Lumbers Sdn Bhd — Port Klang, Malaysia Dong Guan Qi Rui Lumber Co., Ltd — Dongguan, China Dongguan Jinchang Woods Co., Ltd — Dongguan, China Dongguan Topwin Lumber Co., Ltd — Dalingshan Town, China SUSTAINING MEMBERS Assured Partners — Franklin, TN Cooper Machine Co., Inc. — Wadley, GA Heli Americas — Memphis, TN LiTS LLC — Piketon, OH Paw-Taw-John Services, Inc. — Rathdrum, ID SCS Forest Products by Finna Group — Englewood, CO The Wood Geeks — Marietta, OH Vinpac Lines — Montreal, QC ASSOCIATE MEMBER Ethan Allen, Pine Valley Division — Old Fort, NC

Protection starts at the first cut.

ANCHORSEAL®

LOGDAWG®

LOGSAVERS® & FLITCHSAVERS®

1-888-363-2628 sales@uccoatings.com www.uccoatings.com

If you know a company that could benefit from membership in NHLA please contact John Hester, Director of Membership at 901-399-7558 or j.hester@nhla.com. W W W. N H L A .CO M

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

11


WHERE THERE'S A WILL THERE'S A WAY T

hings are very busy here at NHLA with the 184th ITS Class in session and all the hustle and bustle of convention preparations in full swing! I must say, the 184th Class is quite a treat! They are all smart, funny, charismatic and the best part of this class is the diversity it carries.

Upon meeting this group at the Class Cookout the day before school started, I immediately noticed the diversity. We had students from around the world, men, women, veterans, college graduates, students already employed and some unemployed. This diverse group would be spending the next 12-weeks together as they all worked toward one common goal—learning and understanding the NHLA grading rules. I walked into class last week to get a feel for how things were going and to chat with them about their experience so far. I asked them to put in writing why they were here, what they thought about the diversity of the class and if they would encourage others to attend. Rich Hascher, NHLA ITS Instructor and Tracy

On November 17, the 184th Class will graduate from the NHLA Inspector Training School. Every time we see a class come and go we can't help but to wonder where they will land and all the great things they will accomplish in this industry. We wish you the best of luck 184th Class. Bring on 185th!

12

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

I was intrigued by a story from Tracy who is at Dongguan, Chi tending class fr na. Here’s wha om t Tracy had to sa y: I'm Tracy from Rich-Mount W ood Tr China, which is the largest furnitu ading, Ltd., located in Dongg uan, re making city in ing as a purchasin China. I’ve been g assistant for tw worko years, becomin rapid growth in g increasing awar the timber indu e of the stry. I have a burning desire to learn ev erything about have always felt the lumber indu like “where ther stry and e is a will, there responsible attit is a way.” My po ude toward wor sit ive and k is highly appreciate In order to have d by my boss (M a better understa r. Ko). nding of how th my boss sent m e lumber industr e to the NHLA y operates Inspector Traini tion. ng School, with out hesitaHow time flies, we’re more than half way throug sad that the tim h the class and I e is passing so qu am actually ickly. During m I could stay long y time here, I ha er to learn even ve wished m ore. The school equipped. The te is beautiful and acher is full of ca well ring and patienc applications. Th e as he teaches us ere’s no doubt th facts and at encountering one hope they ne this kind of teac ver graduate. her makes My classmates co me from differe nt geographic ar experiences. Som eas and e come from long time lumber indu have a variety of are new to the in stry families and dustry. They are all friendly and some Although we ha helpful to each ve lots of ” word other. for word” mem grading lumber, orization of the we work in grou Rules for ps to help each and get satisfyin other out. We w g scores and a se ork hard nse of success. If you want to ha ve a professiona l understanding change your care of lumber or yo er to the lumbe u want to r business I genu class in Memph inely suggest yo is, TN. u join this

In the meantim e, I’m grateful fo r my company w things I need so hich supports m that I have appr e with the opriate knowled such great unfo ge, industry cont rgettable memor acts and ies.

W W W. N H L A .CO M


WHERE ARE THEY NOW?

ALUMNI NOTES

JARED WILLIAM SEIDER, 151st CLASS

still had a lot to learn. While I knew all the Rules, I needed more time to learn how to apply them in a production setting. There was a lot of room to grow for me personally as a leader because I was still young and inexperienced. The School really sparked a passion in me to succeed as a grader and as a leader. Years have passed and I have learned a lot throughout my career. I have spent significant time grading a wide variety of species kiln dried and green.

WHAT'S MY FONDEST INSPECTOR TRAINING SCHOOL MEMORY? It's hard to pin point the best memory because the whole experience was one of my fondest adult memories. I describe this School to others as a three-month college experience. One I often wish I could go back to. The overall reason I enjoyed and loved this experience would be the camaraderie and friendships I made while attending the class. We worked hard together during the week to learn our craft. On the weekends, we had dinner with one another, played flag football at a local park, and even went to some Memphis Grizzlies games.

I have been blessed to continue working for Banks Hardwoods as a grader and group leader for fourteen years now! I applied my training that I received from the NHLA class to build a wonderful career, which I love and am very passionate about. This career has helped me support my greatest accomplishment, my family. I am married to a wonderful wife and raising three children. Without the NHLA School and my employer, I am not sure where I would be today. I am very grateful for what the NHLA School and Banks Hardwoods has help me achieve. I give all the thanks to God who placed Banks Hardwoods and the NHLA Inspector Training School in my life.

WHAT AM I CURRENTLY DOING AND HOW HAS THE CLASS HELPED ME GET HERE? I started working at Banks Hardwoods in November of 2003 and after putting in three years of hard work, was chosen to attend the NHLA Inspector Training School in September of 2006.

Are you an ITS Alumni? We'd love to hear from you. Send us your story or give us an update at alumninews@nhla.com.

After I graduated in the 151st class, I returned back to Banks Hardwoods to apply the skills I learned over the last few months. I

JOIN OUR LUMBER PARTY Seamlessly managing domestic and international commodities logistics, delivered with superior customer service DUNAVANT.COM W W W. N H L A .CO M

|

888.955.3547 N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

13


14

S E P T E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

W W W. N H L A .CO M


The NHLA Inspector Training School Discover the tradition and future of the hardwood industry • Hands-On Learning • 3 Months to Graduation • Instructors with Real-World Experience • 98% Job Placement NOW ENROLLING FOR THE 2018 SPRING CLASS January 3 – March 24

Enroll online at www.nhla.com/education

W W W. N H L A .CO M

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

15


RULES CORNER

ARTICLE X . . . THE CORE OF THE NHLA SALES CODE By Dana Spessert, NHLA Chief Inspector

I

n this month’s article, I will begin to explain the core of the Sales Code, Article X Inspection. This is by far the most misunderstood section of the Sales Code, due to the industry adopting only select parts without understanding the entire article. Article X, Section 1 refers to the lumber being inspected according to the NHLA Rules and Section 2 refers to lumber inspected by one of the NHLA National Inspectors, and how the lumber is to be handled if there is a suspected claim. ARTICLE X – Inspection Section 1. Lumber sold under this code is subject to the current rules for grading and measurement of the National Hardwood Lumber Association. Section 2. When the order provides for an Original Inspection, the lumber is subject to inspection under the Original Inspection Regulations and the Re-inspection Regulations, which govern the Inspection Department of the National Hardwood Lumber Association and the Financial Guarantee of the Association shall apply as therein provided. The next section, Section 3 is where some confusion may occur. Section 3 describes how to handle a shipment when it arrives at the destination. Section 3. When a shipment of lumber is received under an order which did not require an Original Inspection, the buyer shall cause the shipment to be inspected and measured. If an unsatisfactory difference exists between the amount of seller's invoice covering the shipment and the value of the shipment computed from the buyer's measurement and inspection, the buyer shall hold the entire shipment intact and report this difference to seller within fourteen days after unloading the shipment and furnish seller with piece tally, unless buyer and seller agree otherwise. If it be impossible to adjust such difference by compromise, an authorized National Inspector of the National Hardwood Lumber Association shall be called to inspect the lumber under dispute. As stated in the above section, shipments of lumber not inspected by the NHLA National Inspectors, (Original Inspection) the buyer should inspect and measure the shipment. The buyer has fourteen days after the shipment has arrived at the destination, where it is unloaded and available to inspect, to report an unsatisfactory difference in the invoice value and the receiver’s value based

16

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

on their inspection. It also goes on to state that the receiver must keep the entire shipment intact and furnish a piece tally, unless both parties agree otherwise. The next step is for the buyer and seller to try to work out the issue between each other and if they cannot compromise, they must call in a NHLA National Inspector to inspect the lumber under Dispute. As outlined in the next sections, two options are given to settle a dispute. A NHLA Inspector can grade the lumber and consider it an Original Inspection or they can perform a Dispute Inspection. The main difference between these two methods is that with the Original Inspection, either buyer or seller can call for the inspection and pay the fees and with the Dispute Inspection, the loser pays the fees. Section 4. If the buyer and the seller agree in writing, the application to the Chief Inspector or to an authorized National Inspector may request that the lumber be inspected as an "Original Inspection" under the Original Inspection Regulations and the Re-inspection Regulations and the Financial Guarantee of the Association shall apply on the terms and conditions therein provided. The buyer and seller must agree in writing that the Original Inspection is to be binding on the parties. As stated above in the last sentence of Section 4, if the shipment is to be inspected under an Original Inspection, both parties must agree to the findings. Section 5. Alternatively, the application may request that the National Inspector perform a "dispute inspection" pursuant to this Section 5 and Sections 6, 7 and 8 hereof. The inspector shall inspect and measure the lumber according to the "Standard Inspection" and "General Instructions" as provided in the rules of this book and no Financial Guarantee of the Association shall apply to the dispute inspection. Sections 6 & 7 of Article X are utilized by the NHLA National inspectors to determine which party wins or loses a Dispute Inspection. These sections are in order of application to the result of a Dispute Inspection. Section 6 is the first measure utilized and it is one of the most overlooked areas of a Dispute Inspection. Basically is states that 80% must be on grade or the shipper must pick the lumber up and pay for the inspection and freight charges incurred by the buyer. W W W. N H L A .CO M


Section 6. If the result of the dispute inspection reveals that less than 80% of the total footage in the shipment is in accordance with the specifications of the order, the seller shall reimburse the buyer for any freight paid by the buyer on the shipment, and the shipment shall be held for the disposition of the shipper, who is to pay all expenses of the inspection and labor charges at actual cost or at the rate of $15.00 per M feet, whichever is less. In Section 7 the money value is first referenced and this is the area most quoted by the industry. Section 7. If the result of the dispute inspection reveals that at least 80% of the total footage in the shipment is in accordance with the specifications of the order, then the total value of all lumber of the species ordered, as revealed by this dispute inspection, is to be calculated, using prices shown on the order and recognized price differentials for other items of the species ordered.

Re-inspection Regulations of the Association. The results of the reinspection shall be binding on both parties. No Financial Guarantee by the Association is applicable to a re-inspection provided for under this Section 9. This is a lot of information to read and digest. To sum it up, NHLA encourages traders of hardwood lumber to work it out, if it cannot be worked out or you simply need more information NHLA is here to help. In next month’s article, I will be finising up my series on the Sales Code with Article XI — Enforcement.

In Section 8 is the first mention of any percentage in difference of the value of the shipment and describes the amount of value difference that is used during a Dispute Inspection performed by the NHLA National Inspector to determine the winner or loser of the inspection. Section 8. Should this dispute inspection result in not more than 4% deductible difference in money value from the gross amount of the invoice, the buyer is to pay all expenses of the inspection, accept all lumber and honor the seller's invoice in full. If the deductible difference be more than 4% money value the seller is to pay all expenses of the NHLA inspection and labor charges at actual cost or at the rate of $15.00 per M feet, whichever is less. The seller shall invoice for and the buyer shall retain and pay for all items reported on the dispute inspection certificate of the species and thickness ordered. All other items shall be held for the disposition of the shipper. In Section 9, it simply lets both parties know that if there is any issue with the result of the Dispute Inspection, there can be a re-inspection performed by the Chief Inspector or someone appointed by the Chief Inspector. Section 9. If either the buyer or seller is dissatisfied with the results of the dispute inspection, it is within such party's right to call for re-inspection under the same terms and conditions set forth in the

W W W. N H L A .CO M

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

17


EDUCATIONAL CALENDAR

EDUCATION & TRAINING NOVEMBER

NOVEMBER

2-3

27-Dec 8

2-Day Walnut Lumber Grading

Inspector Training School Progressive Program - Block 1

Northcentral Technical College Antigo, WI

NHLA Headquarters Memphis, TN

JANUARY 2018

JANUARY 2018

3-March 24

29-Feb 1

Inspector Training School 185th Class

Intro to Lumber Grading

NHLA Headquarters Memphis, TN

Mattie Lanier Richey Center Atlanta, Texas

Instructor: Rich Hascher,

Instructor: Rich Hascher,

NHLA ITS Instructor

MARCH 2018

MARCH 2018

APRIL 2018

APRIL 2018

5-24

19-23

9-21

30-May 2

Inspector Training School Progressive Program - Block 3

Intro to Lumber Grading

Inspector Training School Progressive Program - Block 1

Intro to Lumber Grading

Instructor: Barry Kibbey, NHLA National Inspector

NHLA ITS Instructor

NHLA Headquarters Memphis, TN

Maysville Communmity and Technical College Morehead, KY

Instructor: Rich Hascher,

Instructor: Barry Kibbey,

NHLA ITS Instructor

NHLA National Inspector

Instructor: Mark Bear,

NHLA National Inspector

NHLA Headquarters Memphis, TN Instructor: Rich Hascher,

NHLA Headquarters Memphis, TN Instructor: Rich Hascher, NHLA ITS Instructor

NHLA ITS Instructor

*See all course offerings and register at www.nhla.com/calendar 18

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

W W W. N H L A .CO M


EDUCATION IS KEY TO YOUR COMPANY’S SUCCESS Register Online Today! At www.nhla.com "No better place to start in the Lumber/Forest Industry. That knowledge can carry you in many avenues of our industry." —Michael Klingler, NHLA Inspector Training School 116th Class

JUNE 2018

AUGUST 2018

19-21

6-18

Intro to Lumber Grading

Inspector Training School Progressive Program - Block 1

North Carolina State University Raleigh, NC

NHLA Headquarters Memphis, TN

Instructor: Mark Bear,

NHLA National Inspector

AUGUST 2018

29-Nov 17 Inspector Training School 187th Class NHLA Headquarters Memphis, TN Instructor: Rich Hascher, NHLA ITS Instructor

NHLA ITS Instructor

SEPTEMBER 2018

OCTOBER 2018

NOVEMBER 2018

11-13

29-Nov 17

26-Dec 8

Inspector Training School Progressive Program - Block 1

Inspector Training School Progressive Program - Block 3

Inspector Training School Progressive Program - Block 1

Kamps Hardwoods, Inc. Caledonia, MI

NHLA Headquarters Memphis, TN

NHLA Headquarters Memphis, TN

Instructor: Barry Kibbey,

Instructor: Rich Hascher,

Instructor: Rich Hascher,

NHLA National Inspector

W W W. N H L A .CO M

Instructor: Rich Hascher,

NHLA ITS Instructor

NHLA ITS Instructor

N O V E M B E R 2 0 1 7 H A R D W O O D M AT T E R S

19


2017 NHLA ANNUAL CONVENTION & EXHIBIT SHOWCASE

THANKS to Our 2017 Sponsors! WALNUT LEVEL ROSSI GROUP

ALDER LEVEL

CASCADE HARDWOOD LLC

CHERRY LEVEL

ALLEGHENY WOOD PRODUCTS ALLY GLOBAL LOGISTICS, LLC BAILLIE LUMBER CO. BPM LUMBER, LLC COLE HARDWOOD, INC. DMSI PENNSYLVANIA & INDIANA LUMBERMENS MUTUAL INSURANCE CO. THOMPSON APPALACHIAN HARDWOODS INC. U•C COATINGS, LLC USNR

MAPLE LEVEL

ABENAKI TIMBER CORPORATION ATLANTA HARDWOOD CORP. BREWCO, INC. CONTINENTAL UNDERWRITERS INC. HARDWOOD MARKET REPORT HARDWOOD SPECIALTY PRODUCTS MATSON LUMBER CO. MAYFIELD LUMBER

MOSS LUMBER INDUSTRIES, INC. NORTHWEST HARDWOODS SII DRY KILNS SIMPLY COMPUTING INTERNATIONAL, INC. TMX SHIPPING TRN USA TIOGA HARDWOODS TRADETEC COMPUTER SYSTEMS, LTD. TURNBULL LUMBER CO.

RED OAK LEVEL

A.W. STILES CONTRACTOR ACES DIVISION OF KUEHNE + NAGEL INC AFS ENERGY SYSTEMS APP TIMBER AMERICAN WOOD TECHNOLOGY, LLC ANTHONY OAK FLOORING, INC. BREEZE DRIED INC. CARBOTECH CARL ROSENBERRY & SONS LUMBER, INC. COOPER MACHINE CO., INC. CUMMINGS LUMBER CO., INC. DV HARDWOODS EPICOR SOFTWARE CORP. EULER HERMES NORTH AMERICA FORESTRY SYSTMES, INC. FRANK MILLER LUMBER CO., INC. FROEDGE MACHINE & SUPPLY CO., INC.

Presented by HAROLD WHITE LUMBER, INC. HASSELL & HUGHES LUMBER CO., INC. INDUSTRIAL APPRAISAL CO. JIM C. HAMER CO. KAMPS HARDWOODS, INC. LEGACY WOOD PRODUCTS LICO MACHINERY INC. MALEY & WERTZ, INC. MCDONOUGH MANUFACTURING CO. MISSOURI-PACIFIC LUMBER CO., INC. NATIONAL HARDWOOD MAGAZINE OAKS UNLIMITED QUALITY HARDWOODS, INC. ROBINSON LUMBER COMPANY RON JONES HARDWOOD SALES, INC. RORABAUGH LUMBER CO. SCS FOREST PRODUCTS BY FINNA GROUP SIMON LUSSIER, LTEE THOMPSON HARDWOODS, INC. UCS FOREST GROUP VACUTHERM, INC. VISIONTALLY WESTON PREMIUM WOODS WHEELAND LUMBER CO., INC. WOOD-MIZER, LLC

SAVE THE DATE: OCTOBER 2-4, 2018 | SHERATON CENTRE | TORONTO, CANADA


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.