Common use of Auction Process Clause in Contracts

Auction Process. 1.1. The sale by public auction is subject to a reserve price. 1.2. The auctioneer and/or his agent shall be entitled to bid on behalf of the Seller or owner to an amount which is less than the reserve price. 1.3. These auction rules comply with section 45 of the Consumer Protection Act, Act 68 of 2008 (“the Act”) and with the Consumer Protection Act Regulations (“the Regulations”) that have been published in terms thereof in Government Gazette No. 34180 on 1 April 2011 (Volume 550) and any amendments thereto from time to time. 1.4. Section 45(2) of the Act provides that: “When goods are put up for sale by auction in lots, each lot is, unless there is evidence to the contrary, regarded to be the subject of a separate transaction.” 1.5. The auction will start at the published time and will not be delayed to allow participation by any specific persons. 1.6. Only properly registered bidders may participate: 1.6.1. Anyone intending to bid at the auction must register their identity on the bidder’s record prior to the commencement of the auction. Such registration must meet the requirements of FICA (Financial Intelligence Centre Act, 2001) and that person must sign the registration entry. 1.6.2. A person who attends the auction to bid on behalf of another person (i.e. on behalf of a company) must be properly authorised to do so. You will be required to satisfy the Auctioneer that you are properly authorised. This will include a letter of authority on the letterhead of the authoriser and must be accompanied by a certified copy of the resolution authorising you to bid on behalf of a company. 1.7. The bidder’s record and the vendor roll will be made available for inspection at the offices of Aucor during ordinary business hours at no cost. The bidders’ record will also be available for inspection at the auction. 1.8. Aucor holds a trust account. Any money due to the seller in terms of the Rules of Auction will be paid into this trust account for the benefit of the seller, minus any commission or costs payable to Aucor. 1.9. The reason for the auction will be announced unless it is a normal and voluntary sale. The cost of conducting the auction is R50 000.00 and this cost includes: Advertising; Brochures, packs and marketing material; Venue hire costs; Photographs. 1.10. The auctioneer will control the auction and bidding process. 1.11. The sale will be by the rise and the property will be sold to the highest bidder and subject to the Rules of Auction. 1.12. You as the bidder must read the Rules of Auction properly and should not bid unless you have done so and understand these rules properly. 1.13. Every bid amounts to an offer to purchase the property for that amount bid and on the terms and conditions referred to herein. No bid has to be accepted by the seller and same can be rejected whether by the auctioneer or the seller for any reason whatsoever. The seller may also remove the property from the sale at any time before he has accepted a bid or an offer. 1.14. If there are no bids to equal or exceed the reserve price, the property can be withdrawn from the auction, although the seller is allowed to instruct the auctioneer to accept any bid even if lower than the reserve.

Auction Process. 1.1. 1.1 The sale by public auction is subject to a reserve price. 1.2. 1.2 The auctioneer and/or his agent shall be entitled to bid on behalf of the Seller CEDENT or owner to an amount which is less than the reserve price. 1.3. 1.3 These auction rules comply with section 45 of the Consumer Protection Act, Act 68 of 2008 (“the Act”) and with the Consumer Protection Act Regulations (“the Regulations”) that have been published in terms thereof in Government Gazette No. 34180 on 1 April 2011 (Volume 550) and any amendments thereto from time to time. 1.4. 1.4 Section 45(2) of the Act provides that: “When goods are put up for sale by auction in lots, each lot is, unless there is evidence to the contrary, regarded to be the subject of a separate transaction.” 1.5. 1.5 The auction will start at the published time and will not be delayed to allow participation by any specific persons. 1.6. 1.6 Only properly registered bidders may participate: 1.6.1. 1.6.1 Anyone intending to bid at the auction must register their identity on the bidder’s record prior to the commencement of the auction. Such registration must meet the requirements of FICA (Financial Intelligence Centre Act, 2001) and that person must sign the registration entry. 1.6.2. 1.6.2 A person who attends the auction to bid on behalf of another person (i.e. on behalf of a company) must be properly authorised to do so. You will be required to satisfy the Auctioneer that you are properly authorised. This will include a letter of authority on the letterhead of the authoriser and must be accompanied by a certified copy of the resolution authorising you to bid on behalf of a company. 1.7. 1.7 The bidder’s record and the vendor roll will be made available for inspection at the offices of Aucor Property during ordinary business hours at no cost. The bidders’ record will also be available for inspection at the auction. 1.8. 1.8 Aucor holds a trust account. Any money due to the seller CEDENT in terms of the Rules of Auction will be paid into this trust account for the benefit of the sellerCEDENT, minus any commission or costs payable to Aucor. 1.9. 1.9 The reason for the auction will be announced unless it is a normal and voluntary sale. The cost of conducting the auction is R50 000.00 plus VAT and this cost includes: Advertising; Brochures, packs and marketing material; Venue hire costs; Photographs. 1.10. 1.10 The auctioneer will control the auction and bidding process. 1.11. 1.11 The sale will be by the rise and the property will be sold to the highest bidder and subject to the Rules of Auction. 1.12. 1.12 You as the bidder must read the Rules of Auction properly and should not bid unless you have done so and understand these rules properly. 1.13. 1.13 Every bid amounts to an offer to purchase the property for that amount bid and and, on the terms terms, and conditions referred to herein. No bid has to be accepted by the seller CEDENT and same can be rejected whether by the auctioneer or the seller CEDENT for any reason whatsoever. The seller CEDENT may also remove the property from the sale at any time before he has accepted a bid or an offer. 1.14. 1.14 If there are no bids to equal or exceed the reserve price, the property can be withdrawn from the auction, although the seller CEDENT is allowed to instruct the auctioneer to accept any bid even if lower than the reserve. 1.15 Where there is a dispute between bidders, the auctioneer shall have the final say. 1.16 The auctioneer is entitled to correct any error he might make. 1.17 No bid may be withdrawn from the fall of the hammer until the expiry of the confirmation period. During this time the bid/offer shall remain open for acceptance by the CEDENT or his agent and once the offer is accepted, the sale is deemed to be a sale by auction for purposes of the Act. 1.18 The highest bidder ("the CESSIONARY") must sign the Rules of Auction immediately on the fall of the hammer.