1. The auctioneer certifies that to the best of its knowledge and belief, these Rules of Auction comply with Section 45 of the Consumer Protection Act 68 of 2008 (“the Act”) and the Regulations (“the Regulation/s”) that have been published in terms thereof in Government Gazette No. 34180 on the 1 April 2011 and any amendment/s thereto from time to time.

2. The auctioneer has a non-interest bearing trust account into which all moneys will be paid for the benefit of the Seller, less any commission, buyer’s premium or costs payable to the auctioneer in terms of these Rules of Auction and the Conditions of Sale (“the Conditions of Sale”) that applies to this auction.

3. These Rules of Auction comply with and are subject to Section 45 of the Act and the following

        provisions are brought to the bidders’ attention:

“45   (1) In this section, “auction” includes a sale in execution of or pursuant to a court

        order, to the extent that the order contemplates that the sale is to be conducted by an

        auction.

“45 (2) 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.

“45 (3) A sale by auction is complete when the auctioneer announces its completion by

        the fall of the hammer, or in any other customary manner, and until that announcement

        is made, a bid may be retracted.”

“45 (4) Notice must be given in advance that a sale by auction is subject to –

       (a) a reserved or upset price; or

       (b) a right to bid by or on behalf of the owner or auctioneer, in which case

           the owner or auctioneer, or any one person on behalf of the owner or

           auctioneer, as the case may be, may bid at the auction.

4. Each bid is equal to an offer to the Seller on the terms contained in the Conditions of Sale.

5. Every auction will commence at the published time and will not be delayed enabling any specific person or other persons in general to take part in the auction.

6. These Rules of Auction and the Conditions of Sale will be available to the general public for inspection on  website of Elite Auctions and at the offices of Elite Auctions (-25.515457, 28.527611) at least 24 (twenty four) hours prior to the commencement of the auction; and  at the auction location specified.

7. Every prospective bidder must, prior to the commencement of the auction, read and understand the Rules of Auction and the Conditions of Sale. Any bidder may not bid unless he or she has done so. Any queries in connection with the Rules of Auction and the Conditions of Sale must be raised with the auctioneer prior to the commencement of the auction.

8. The auctioneer will not accept any bids from bidders who are not registered in accordance with these Rules of Auction and the bidders’ record. A bid taken from an unregistered person wil be deemed as invalid with no exceptions made.

9. For registration to be completed, a prospective bidder must pay a refundable deposit as advertised and the amount thereof may vary from auction to auction.

10. All auction deposits shall be refunded within 5(five) working days from the date you submit a refund request document.

11. The auctioneer will during the auction announce the reason for the auction unless that reason is the normal and voluntary disposal of the goods/lot(s) by the Seller.

12. Financial Arrangements:

• Once goods or lots have been sold to the purchaser without reserve or confirmed by the owner or seller in an auction with reserve, the sale of the goods or lots is irrevocable and cannot be withdrawn. The purchaser shall be liable for the settlement of such purchases failing which the auctioneer, the seller or the owner, reserves the right to obtain relief it is entitled to, including the amount paid, interest if applicable, legal costs and collection costs.
• Ownership and title will only be transferred upon full settlement as completed in clause (12.3.) hereunder.
• Regarding movable goods, settlement for goods or lots purchased as contemplated in clause (12.1.) herein, including advertised fees and commission, is payable upon delivery on the day of the auction. Should the auction finish after banking hours, purchases must be settled by 12h00 the day after the auction or the first working day after the day of the auction where the day after falls on a weekend or statutory public holiday.
• Auctions are cash transactions and not subject to any suspensive conditions such as the granting of finance to the purchaser. Therefore, bidders intending to finance their purchases must obtain irrevocable approval or guarantee from their sponsors prior to the commencement of the auction, so that they will be able to fulfil the settlement requirements contained in clause (12.3.).
• In line with clause (12.4.) above, payment terms regarding the settlement of purchases in terms of these rules of auction are strictly EFT, payable in full without any free of set off for any claim the purchaser may have against the seller or owner.
• All payments must be made in South African ZAR Currency, into the specified Trust Bank Account nominated by the Auctioneer for each auction and provided to the purchaser in the Notice to Bidders forming part of these rules of Auction.
• In accordance with money laundering regulations and in the interest of security, the auctioneer does not accept cash at its auction sites. Cash deposits must be made at the bank and proof thereof must be presented on site or at the auctioneer’s premises.
• Elite Auctions only accepts Electronic payments. All cash payments into the Elite Auctions’ Trust Bank Account shall attract a 3% cash deposit fee due and payable by the Purchaser. Please use your Bidder’s name or Company name or Bidder’s number as reference for an auction deposit, and the reference used for settling a proforma invoice.
• Should the purchaser default, a forfeit fee not exceeding 10% of the full purchase price or the total costs of advertising and conducting the auction, including any additional costs that may have been reasonably incurred, including any additional costs that may have been reasonably incurred in accordance with regulation 21(2)(I) of the CPA (Consumer Protection Act), whichever is the lesser. In such an event of default by the purchaser, the refundable registration deposit will be retained and used to set-off the forfeit fee contemplated in this clause (12.9.), or part thereof if the fee is lesser. Should the retained refundable registration deposit be greater, the difference will be refunded to the purchaser.
• Should the seller reject the purchaser’s offer or default for whatever reason, the purchaser will not be charged any fee or commission, and where such fee or commission has already been paid by the purchaser, such fee or commission will immediately be refunded to the purchaser, including the refundable registration deposit. The Parties shall have no further obligations under these rules of auction thereafter.

13. Notice is hereby given that the auction is subject to a reserve price, a right on behalf of the Seller to bid at the auction; a right of the auctioneer to bid at the auction on behalf of the Seller or as proxy for a registered bidder.

14. The conduct of the auction is subject to the control of the auctioneer who has the sole right to regulate the bidding procedure. If any bidder(s) act in a manner deemed as misappropriate such as “auction ringing” or being rude and/or threatening to any staff or customers of ELITE AUCTIONS, the offending bidder(s) bid may be refused or the bidder(s) may be removed from the premises .

15. Any person who attends the auction intending to bid on behalf of another or a company/close corporation must produce a proxy letter or letter of authority expressly authorising him or her to bid on behalf of that person/entity or company/close corporation. Where a person is bidding on behalf of a company/close corporation, the letter of authority must appear on the company/close corporation’s letterhead and must be accompanied by a certified copy of the resolution authorising him or her to bid on behalf of the company/close corporation.

16. Anyone that intends to bid at the auction must register his or her identity on the bidder’s record prior to the start of the auction and such registration must meet the requirements of the Financial           Intelligence Centre Act of 2001, in respect of the establishment and verification of identity of the person and that person must sign the registration documentation.

17. The bidders’ record and the vendor’s roll are available for inspection at the offices of the Elite Auctions during normal business hours, free of charge. The bidders’ record will also be available for inspection at the auction. The vendor’s roll of the auction is final and binding on all bidders.

18. The sale shall be by the rise and fall of the hammer and the goods/lot(s) shall be sold to the highest bidder subject to these Rules of Auction and the Conditions of Sale.

19. Every bid shall be accepted as an offer to purchase the goods/lot(s) for the amount bid, which the Seller and/or auctioneer may accept or reject in their sole and absolute discretion. The Seller and the auctioneer are entitled, in their sole and absolute discretion, to withdraw goods or a lot or lots from sale prior to acceptance by the Seller unless the Seller instructs the auctioneer to accept a lower bid.

20. In the event of a dispute between any of the bidders, the decision of the auctioneer shall be final and binding including, but not limited to, the right to resell the goods/lot(s) or to declare any bidder, the purchaser. The auctioneer shall be entitled to correct any error he might make. No bidder shall have any claim for damages or loss of any nature against the auctioneer flowing from or arising out of the auctioneer’s decision or as a result of the correction or any error which the auctioneer may have made

21. No bid may be withdrawn after the fall of the hammer until the expiry of the confirmation period that is provided for in the Conditions of Sale, during which time the offer shall be open for acceptance by the Seller or his or her agent and if the offer is accepted, the sale shall be deemed to be a sale by auction for purposes of the Act.

22. The purchaser’s bid/offer shall remain open for acceptance by the Seller or by the auctioneer on behalf of the Seller until the expiry of the confirmation period. The purchaser and the auctioneer acknowledge and agree that this provision is for the benefit of the Seller. Negotiations between the highest bidder and the Seller may arise during such confirmation period and should any subsequent bid be received during such confirmation period, the new bidder will be required to register in terms of these Rules of Auction and will have one opportunity to submit a higher bid and the highest bidder of the first instance shall have the right to equal or better such subsequent bid.

23. Should the Seller reject the purchaser’s bid/offer, the auctioneer shall refund the purchaser’s deposit and buyer’s premium paid in terms of the Conditions of Sale

24. Should the purchaser’s bid/offer be rejected by the seller, the auctioneer shall refund the purchaser’s deposit and buyer’s premium paid in terms of the Conditions of Sale

25. Bidders shall be given a reasonable time and opportunity to inspect the goods/lot(s) prior to the commencement of the auction at a date and time specified by the auctioneer and it is the bidder’s responsibility to do so. No fee will be charged for such opportunity. Elite Auctions does however reserve the right to refuse or restrict access to such goods/lot(s) if the prospective bidder, after gaining access, in any way acts unlawfully or contravenes the Rules of Auction; and/or require a prospective bidder to adhere to or submit to any security measures reasonably applicable in the circumstances.

26. All goods/lot(s) are sold voetstoots (as is). Bidders are given fair and ample opportunity to inspect the goods/lot(s) and are deemed to have done so to his or her satisfaction. No express of implied representations guarantees, or warranties of any nature are made by the auctioneer regarding the condition, quality or any other characteristic of the goods/lot(s). In particular, but without limiting the generality of the aforegoing, no warranties are made regarding motor vehicles in respect of year, make, mileage or model thereof. Neither the auctioneer nor the Seller accepts any responsibility for repairs to or maintenance of any goods/lot(s) sold at the auction.

27. The Seller and the purchaser agree that the auctioneer will not be held liable in the event where there is a delay in obtaining and/or clearing the eNatis documents on motor vehicles. As the auctioneer is only acting as an agent for the Seller, the Seller shall remain responsible to ensure that, where applicable, all information and documentation furnished are true, correct and authentic in every respect and that the e-Natis documents are available to the purchaser.

28. No goods/lot(s) shall be removed prior to full payment thereof and not without a valid release note.

29. All goods/lot(s) are sold exclusive of VAT and in particular all motor vehicles are sold excluding documentation fees which may vary from auction to auction, and shall at all times after the sale remain the liability of the purchaser. Documentation fees are advertised excluding VAT.

30. For all Television purchases, the bidder or purchaser shall be required to present a valid TV licence to Elite Auctions before collection thereof.

I hereby certify that the rules of auction, to the best of my knowledge, meet the requirements of the regulations, and I further acknowledge that I am personally accountable and liable for the content of the rules of auction.

Pieter Van Schalkwyk