The airplane was substantially damaged at about 1500 Eastern time during a forced landing following a loss of engine power during initial climb. The Flight Instructor and Commercial pilot aboard were not injured. Visual conditions prevailed. While at 3500 feet, a simulated engine failure was performed. The simulation ended with a recovery at 700 feet. As the airplane climbed past 1700 feet, the engine lost power then failed. Attempts to restart the engine were unsuccessful, and the CFI performed a forced landing to a field. During the landing, the airplanes left wing struck a tree stump. Initial examination did not reveal any pre-impact malfunctions.