Three contracted forestlands in the Experimental Forest, National Taiwan University, are widely illegally used as cash crop fields. In order to balance the sustainability of forestry and living of the fanners, National Taiwan University Experimental Forest Office (NTUEFO) has been planning a project of "Research on the Feasibility of Agroforestry Practice in Contract Woodlands Practicing Agriculture" since 2010. The main purposes include defining the environmental impacts before and after its utilization, identifying current issues of land use and regulatory factors, assessing the feasibility of agroforestry. The result shows that agroforestry practice is currently not a good option for the contracted forestlands from regulatory, environmental impacts, and water and soil conservation perspectives.