RULES OF AUCTION
Herewith the Rules of Auction in accordance with Regulation 21 of the Consumer Protection Act 68 of 2008 (“the Act”):
1. DETAILS OF AUCTION
Place of auction: ALL ASSET AUCTIONS WAREHOUSE @OBARO, Warmbad Weg, Thabazimbi, Limpopo, 0380 & 1 van der Bijl Street Thabazimbi
The actual auction, which is an online auction, will take place at the following online platform:
https://www.aaauctions.co.za
Type of auction: Timed online asset auction without reserve
Date of auction: AS ADVERTISED
Time of auction: AS ADVERTISED
Name of auction house: All Asset Auctions (Pty)
Registration number: 2019/591735/07
Registered address of
auction house: Benathie Business Centre, 2 Warmbad Weg, Thabazimbi, Limpopo
Contact details of auction house: Pieter Heyns 083 65 444 22 auctioneer@allassetauctions.co.za
Auctioneer and timed online
platform administrator: Pieter Heyns
083 65 444 22
auctioneer@allassetauctions.co.za
Auction manager and
assistant administrator: Shireen Potgieter
082 961 2762
admin@allassetauctions.co.za
Registration requirements: Normal FICA requirements apply
Registration deposit: No deposit
(all of the above collectively hereinafter referred to as “the Auctioneer”)
2. In compliance with Regulation 21(2)(c) of the Regulations of the Act, all interested parties’ attention is drawn to Section 45(2), (4) and (5) of the Act where it is stated that:
“(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.
…
(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 person on behalf of the owner or auctioneer, as the case may be, may bid at the auction.
(5) Unless notice is given in advance that a sale by auction is subject to a right to bid by or on behalf of the owner or auctioneer –
(a) the owner or auctioneer must not bid or employ any person to bid at the sale;
(b) the auctioneer must not knowingly accept any bid from a person contemplated in paragraph (a); and
(c) the consumer may approach a court to declare the transaction fraudulent, if this subsection has been violated.”
3. These Rules of Auction comply with Section 45 of the Act as well as with the Regulations of the Act.
4. The Auction will commence at the published time and it will not be delayed to enable any specific person or more persons in general to take part in the auction.
5. A person who intends to bid at the Auction must meet the requirements that every prospective bidder must prior to the commencement of the auction register his or her identity in the bidder’s record, and such registration must, with the necessary changes, meet the requirements of Chapter 1 of the regulations of the Financial Intelligence Centre Act, 2001, published in Notice No. R.2595 in Gazette No. 24176 of 20 December 2002, in respect of establishment and verification of identity, and sign that entry.
6. A person who intends to bid on behalf of another person at the Auction must produce a letter of authority expressly authorizing him or her to do so and both that person and the person bidding on his or her behalf must meet the requirements that every prospective bidder must prior to the commencement of the auction register his or her identity in the bidder’s record, and such registration must, with the necessary changes, meet the requirements of Chapter 1 of the regulations of the Financial Intelligence Centre Act, 2001, published in Notice No. R.2595 in Gazette No. 24176 of 20 December 2002, in respect of establishment and verification of identity, and sign that entry.
7. Unless the Auctioneer is the owner or rightful owner (who has the right to sell) of the goods to be auctioned, all monies, minus the agreed commission and such additional costs as agreed upon, will be paid into the trust account of the Auctioneer for the benefit of the Seller.
8. Unless the reason for the auction is the voluntary disposal of goods by the owner, the Auctioneer will during the Auction announce the reason for the Auction.
9. The bidders’ record as contemplated in Regulation 26 of the Act is available for inspection at the address of the Auction House as stated above, during normal hours and free of charge.
10. The vendor roll as contemplated in Regulation 28(4) of the Act is available for inspection at the address of the Auction House as stated above, during normal hours and free of charge.
11. VAT at 15% is payable on all lots purchased by the buyer. No buyer’s commission is payable.
Example: Bid Price = R100.00
Plus VAT @15%= R15.00
TOTAL AMOUNT PAYABLE= R115.00
12. Breakdown of costs of Auction:
12.1. The Auctioneer is entitled to a commission calculated as a percentage agreed upon between the Auctioneer and the Seller (exclusive of VAT if applicable) of the price achieved at the Auction;
12.2. Marketing and advertising costs (which include the cost of catalogues) are calculated at a rate of 3% (THREE PERCENT) of the projected turnover of the Auction;
12.3. Additional costs can be charged by the Auctioneer upon agreement between the Parties, which costs will be calculated at an agreed upon percentage calculated on the price achieved at auction, alternatively, the Reserve Price or calculated at a fixed price.
13. The Rules of Auction need not be read out at an auction to be valid, but only if –
13.1. the Rules of auction were, where applicable, available to the general public at least 24 hours prior to the commencement of the auction; or
13.2. the Rules are the same as previous auctions and are generally available at the Auction House or on the Auctioneer’s website; or
13.3. at the Auction, the Auctioneer invites any person present to object to the Rules of Auction not being read upon, and nobody objects.
14. The Auction is an auction to be held without a Reserve Price.
15. No lots sold will be permitted to be removed from the premises without the express written consent of the Auctioneer or similar documentation stating that the buyer has paid for the lots bought and that such lots can be removed by the buyer, his employee, agent or representative.
16. Every prospective bidder whose name appears in the bidders record, shall be provided with a bidder number before he or she may bid, as well as a paddle or other device to which that number is attached in such a way that it is clearly visible to the persons present at the auction. In the case of an online auction, each bidder’s Facebook profile name or name with which he or she signed up, will be regarded as their unique identifier.
17. The auctioneer may refuse a person the right to remain in attendance at the Auction in the event that such person repeatedly behaves in such a way that disrupts the Auction. The auctioneer further reserves the right to refuse any bid placed by a bidder who has not complied with the specific registration requirements imposed by the auctioneer.
18. The Auctioneer will afford potential buyers a reasonable period of time and opportunity to inspect the lots on offer prior to the commencement of the Auction, but the Auctioneer may refuse access or restrict access to such lots if the potential buyers, after gaining access in any way, act unlawful or in contravention of the applicable Rules of Auction which require the potential buyers to adhere or to submit to any security measures reasonably applicable in the circumstances and no fee may be charged for such opportunity.
19. The highest bidder, when the Auctioneer announces the completion of a sale by the fall of the hammer or any other customary manner, is the purchaser of the lot or lots on auction.
20. All lots shall, under circumstances in 19 above, be deemed to have been sold and delivered to the buyer.
21. The buyer shall only be entitled to remove the lot or lots so purchased when the total amount reflected on the Auctioneer’s invoice in respect of such lot or lots, has been paid in full.
22. All risk, profit and loss in and to the lot or lots will immediately pass to the buyer once the lot or lots has been sold to him, her or it, as contemplated in clause 19.
23. All lots sold are payable immediately after the conclusion of the Auction and the Auctioneer will only accept payment by EFT (Electronic Funds Transfer).
24. Notwithstanding delivery of the lot, ownership therein will only pass to the buyer once all monies due to the Auctioneer have been paid.
25. The Auction shall take place under the exclusive control of the Auctioneer. The Auctioneer reserves the right to in his sole and absolute discretion refuse the bid of any person, to regulate the bidding and to indicate the highest bidder.
26. Should the Auctioneer suspect that a bidder has not made a bona fide bid or is unable to pay the purchase price or has not made satisfactory arrangements for the payment of the purchase price, then the Auctioneer may refuse to accept the bid of such bidder, or he may provisionally accept such bid until such time as the bidder has satisfied the Auctioneer that he, she or it is in a position to pay the purchase price and that he, she or it has made satisfactory arrangements for the payment of the purchase price.
27. On refusal of a bid under any of the aforementioned circumstances or any other circumstances, the Auctioneer may re-auction the lot.
28. The Auctioneer may in its absolute and sole discretion nominate the highest bidder or re-auction a lot in the event that a dispute arises between the bidders or between the bidder and the Auctioneer. In the case of an online auction, the highest bidder will be the bidder who received an automated email from the Auctioneer’s online auction platform, informing the bidder that he or she was the highest bidder of a specific lot.
29. All lots bought at the Auction must be removed within 5 (FIVE) days after the day of the Auction, failing which the Auctioneer will charge the buyer storage costs calculated at a rate of 1% (ONE PERCENT) of the purchase price per lot per day plus any additional costs as may be necessary. If for reasonable logistical challenge, a lot cannot be removed within the said 5 days, then arrangements must be made with the Auctioneer and Seller for an extension of this period.
30. Any person instructed by the Auctioneer on behalf of the buyer to remove and transport lots from the Auctioneer’s premises, will be deemed to be the contractor of the buyer and the buyer accepts all costs and risks associated with such removal and transport.
31. All lots are sold voetstoots. The buyer shall, prior to the auction, ascertain whether there are any visible or reasonably ascertainable defects in the lots and any bid by the buyer shall be considered as acceptance of the buyer’s willingness to buy such lot or lots despite any such defect and that the buyer is satisfied with the condition of the lot or lots at the time of the Auction, irrespective of whether such defects are latent or patent.
32. By entering a bid, the prospective buyer binds himself, herself or itself to these Rules of Auction.
33. The buyer shall not be entitled to withhold payment of the purchase price to the Auctioneer as a result of any possible pending claim that the buyer may have against the Seller for any reason whatsoever.
34. A certificate issued by a manager or director of the Auctioneer, whose proof of appointment and authority shall not be necessary, shall be prima facie proof of the amount owing by the buyer to the Auctioneer or Seller.
35. Any indulgence granted by the Auctioneer or Seller to the buyer will not prejudice the rights of the Auctioneer or Seller in terms of these rules of Auction and such indulgence will not constitute an amendment, waiver or novation thereof.
36. The entries made in the Auctioneer’s vendor roll shall be prima facie proof of the transaction between the Seller and the buyer.
37. If there is no bid received on a lot or if the bid does not equal or exceed the reserve price (if any), then the lot may be withdrawn from the Auction.
38. Any person who bids, whether it be for themselves or on behalf of any other person, company, CC or trust, will be held personally, alternatively jointly and severally liable for any loss or damaged of any kind whatsoever suffered by the Auctioneer or the Seller in the event that such person, other person, company, CC or trust does not pay its invoice upon presentation or in any other way disrupts the auction by placing bids or spreading information that are mala fide.
39. The buyer will be liable to pay the Seller’s or Auctioneer’s costs on an attorney and own client scale as a result of any proceedings that have to be instituted against the buyer in the event of a dispute arising from these Rules of Auction.
RULES OF AUCTION THAT SPECIFICALLY APPLY TO A TIMED ONLINE AUCTION
40. A timed online auction is an auction that is presented on an online platform and where bidders participate by registering and placing their bids in the manner provided for by the online platform.
41. All lots will be open for bidding simultaneously on the date and at the time advertised and will close on the date advertised from 10:00 in staggered intervals, which can be illustrated as follows:
Lot 1 closes at 10:00, Lot 2 closes at 10:05, Lot 3 closes at 10:10 and so forth…
42. Where a bid is placed in the last 2 minutes before a lot is scheduled to close, then the bidding will remain open for a further 5 minutes calculated from the initial closing time.
43. Where a bid is placed in the last 2 minutes before a lot is scheduled to close but after bidding has been extended as contemplated in clause 42 above, then the bidding will remain open for a further 5 minutes calculated from the extended closing time.
44. Neither the Auctioneer nor the seller will accept any responsibility of any kind whatsoever for any damage or loss suffered by a bidder or any of its representatives as a result of a bidder not being able to place a bid on the Auctioneer’s online platform for any reason whatsoever, including but not limited to connectivity issues, server issues or the like.
45. Where a bid has been made in error and the bidder has informed the Auctioneer of such erroneous bid, the Auctioneer will make a determination whether such error was bona fide and delete such bid. A bid genuinely made and which the bidder wants to remove for no other reason than the bidder not being interested in such a lot anymore, will not be deemed a bid made in error and will not be deleted by the Auctioneer.