They, too, build web nests in trees. Their nests are a little different than tent caterpillars in that they enclose leaves and branches in their webs and can be found all over the tree. Tent caterpillar usually aren't as visible and live at the crotch location of trunk and branch.
The damage is defoliation. Usually small numbers of them are not likely to hurt anything. If too many caterpillars run rampant, they can ruin trees, such as pecan, persimmon, oaks, etc.
Control before caterpillars emerge from the nests is the best prevention. Cut out the limbs with nests and burn them. You can also buy BT for caterpillars of this nature and spray your trees once a week. You can release parasitic wasps, attract birds, and wasps. Wasps attack other insects during spring.
For synthetic chemical users, you can apply systemic pesticides and/or any other insecticide to the tree.
The following picture is of a blackheaded caterpillar.
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