example: zone-walls made in 3ds max
 

here is a blank, flat terrain with walls made in 3ds max...

http://nugblazers.com/files/SCtut/ter1ex.jpg

Here are the files for it, ive included the .3ds file for 3ds max, or importing.
And also included the .scn file that has zone boundaries and a path added in the middle.

http://www.nugblazers.com/files/SCtut/ter1ex.zip

Very cool. Yeah all you do is make a material in 3ds max that has the opacity set to 0.

I found another method for making even better terrains in MAX..

first you make the terrain exactly how you want it to look in max..

export..

load OZ..

new scene, with any size ground mesh.. (EDIT1:: actuially, make the ground mesh the same or bigger size than the terrain you made in MAX)

import the MAX terrain not as ground mesh but either mesh or the other..

place the terrain ontop of the ground mesh.. and it works fine, and looks great.

ill make and post an example sometime soon :)

oh dude.. Great idea!!!! Very innovative cripp. :)