Standard Auction Conditions

1. PURCHASER

Subject to any reserve price the highest bidder shall be the purchaser. The auctioneer shall be sole judge of who was the highest bidder. In the event of any dispute between bidders for lot the auctioneer shall have absolute discretion to settle the dispute as sole arbitrator and his decision shall be final. The auctioneer may (whether or not the lot has been knocked down as sold ) re-submit the lot for sale by auction at the sale in progress or as soon as practicable thereafter.

2. AUCTION CONTRACT

Subject to condition 1. the entry of the purchaser's name in the sale book by the auctioneer or by his clerk ( either of whom shall be authorised by the purchaser so to enter his name, or of the purchaser's bidding number in the case where the purchaser's name has been entered in the bidder's register) shall be binding on the Purchaser and the sale book, together with these conditions shall constitute the whole of the contract between the Auctioneer and the Purchaser, and the Vendor and the Purchaser, if the Vendor shall require an agreement for sale to be signed by the Purchaser the Purchaser shall sign that agreement as soon as practicable after the fall of the hammer.

3. WITHDRAWAL OF BIDS

Any bid acknowledged and relied upon by the Auctioneer shall not be withdrawn

4. PURCHASER TO PURCHASE AS PRINCIPAL

The purchaser shall be deemed to purchase as principal unless -

(a) prior to sale he shall disclose to the person actually conducting the sale on behalf of STEERS PTY. LIMITED that he will be bidding on behalf of a principal and shall supply the full name and address of his principal and a copy of a written authority to bid for and on behalf of that principal; and

(b) the purchaser has actual authority to bid on behalf of the disclosed principal. The onus sale be on the Purchaser to show that he has such actual authority.

5. AUCTIONEER'S RIGHTS

The Auctioneer and Vendor reserve the following rights ( which may be exercised by the auctioneer without giving any reason):-

(a) to not offer for sale any lot described in the catalogue;

(b) to offer for sale part only of any lot described in the catalogue;

(c) to offer two or more of the lots described as separate lots in the catalogue for sale together as one lot;

(d) ( if any goods or lots described as separate lots in the catalogue are offered for sale together as one lot and not knocked down to a successful bidder ) To offer such goods or lots for auction as separate lots;

(e) to withdraw any lot or lots from sale;

(f) to refuse to accept the bidding of any persons;

(g) to refuse any person or persons admission to, or eject them from the auction site;

(h) to refuse to accept any bid for a lot being less than a sum named from time to time by the Auctioneer;

(i) to keep secret the existence and quantum of the reserve price ( if any ) of the lot to the close of bidding or withdrawal of the lot;

(j) in the event that any Purchaser shall successfully bid for more than one lot at the auction -

(i) to appropriate any moneys received from that purchase in satisfaction or partial satisfaction of the purchase price ( and sales tax if applicable) due in respect of any one or more such lots to the total or partial exclusion of amounts due in respect of any such lot or lots as the auctioneer shall see fit;

(ii) to elect at any time to treat such contract for the sale of each lot as interdependent with each other such contract or contracts, and hence default under such contracts as default under all such contracts;

(k) to bid on behalf of any prospective Purchaser or purchasers with or without disclosure;

(l) ( In the event that any lot is not sold) to offer and sell same at the auction or immediately thereafter by private treaty but otherwise on these conditions.

6. RESERVE PRICE AND VENDOR'S BID

(a) This auction sale is subject to the reserve price (if any) for each lot specified to the Auctioneer by the Vendor which reserve price at the Auctioneer's election may be applied in respect of each group of lots or each parcel of goods which may be offered for sale as one lot.

(b) The right of the Vendor ( or any person on his behalf) to make two bids for a lot, is hereby reserved. The Auctioneer shall prior to submitting the lot for sale by auction announce in a clear and precise manner the number of bids reserved by the Vendor in respect of that lot.

7. DETAILS OF BIDDERS

Any bidder shall give his full name and residential address forthwith upon being called upon to do so by the Auctioneer.

8. PART PAYMENT

(a) Prior to the end of the sale or at any time thereafter specified by the Auctioneer the Purchaser shall pay to the Auctioneer the full purchase price for the lot ( plus sales tax in the case of new goods where applicable).

(b) The Auctioneer at his discretion may not require immediate payment or part payment for a lot.

9. EXCLUSION OF WARRANTIES

All lots are open for inspection prior to sale and it is assumed that the goods have been inspected. All lots are sold with all faults latent or other (if any). No error or misdescription shall vitiate the sale and the Purchaser shall be bound to take delivery of the goods sold without allowance or abatement in price. Any deficiency in the quantity described shall not vitiate the sale but neither the Auctioneer nor the Vendor shall be bound to deliver more than is in his possession. All lots ( including machinery, timber, plant or other property) are to be bid for and taken as the same now stand in their present position and condition. Any warranties which might otherwise be implied by the Sale of Goods Act 1895 are excluded and shall not apply. All statements in the auction catalogue, advertisements or brochures for the forthcoming sales are statements of opinion and are not to be relied upon as statements or representations of fact and intending bidders must satisfy themselves by inspection or otherwise as to the nature of the goods offered for sale. The Auctioneer and the Vendor make no warranties and give no guarantees other than warranty implied by the common law or by any State or Federal law, the exclusion of which warranty would render this condition void or voidable or which would constitute an offence by the Auctioneer or the Vendor.

In addition, no warranty shall be implied from any statement made at the time of sale or otherwise, but in all cases where an express representation or warranty (other than as aforesaid) is intended, the same shall attach and be enforceable only if reduced to writing and signed by the Vendor or by the Auctioneer as agent for the Vendor.

10. KNOCKED DOWN GOODS AT PURCHASER'S RISK

Each lot shall lie at Purchaser's risk from the fall of the hammer and neither the Auctioneer nor the Vendor shall be accountable for any deficiency damage or loss which may arise thereafter.

11. DELIVERY and REMOVAL

No lot shall be removed during the sale or without clearance from the Auctioneer. Subject to condition 8 delivery of all lots is to be taken and the goods removed by the Purchaser within the time specified on the catalogue or otherwise by the Auctioneer and in this respect time is of the essence. All removals shall be at the expense and risk of the Purchaser but in such removal the Purchaser shall do no damage, or shall forthwith make good any damage which may be occasioned. Whether or not a lot has been paid for any lot or part thereof not so removed by the Purchaser may thereafter be removed by the Auctioneer of by some person or company engaged by the Auctioneer or the Vendor and/or stored at the place at which the auction sale occurs or elsewhere by the Auctioneer or by some person or company engaged by the Auctioneer. Such removal and/or storage (whether made for the safety of the goods or for the convenience of the Vendor or for the convenience of the Auctioneer or to enable resale of the goods pursuant to condition 13 or otherwise) shall be deemed to have been made by the Auctioneer at the request of the Purchaser and all costs incurred by the Auctioneer or the Vendor in relation to such removal and/or storage shall be immediately payable by the Purchaser to the Auctioneer and the Auctioneer may sue for and recover the same as liquidated damages.

12. PROPERTY IN GOODS

Not withstanding condition 10, property in lots sold shall not pass until payment in cash of the purchase price (and sales tax, where applicable) or until all cheques given on account of same have been honoured.

13. RESALE ON DEFAULT

If the Purchaser shall default in the observance or performance of any of his obligations under the conditions or any independent contract with the Auctioneer or Vendor or if any cheques given on account of his purchase at the auction are dishonoured, then any moneys which the Purchaser shall have paid to the Auctioneer on account of his purchase or purchases shall be absolutely forfeited to the Vendor or Vendors of the lot or lots concerned and the Vendor or Vendors or the Auctioneer shall be at liberty to sue the Purchaser for damages or at their opinion and without notice to the Purchaser to resell the lot or lots in any manner(including sale by private contract) and upon such terms and conditions as they may think proper.

14. DAMAGE ON DEFAULT

All loses and expenses incurred by the Vendor or Vendors or by the Auctioneer resulting from any resale pursuant to condition 13(whether or not the amount of these damages exceed the price that was paid by the purchaser for the lot of lots)and all damages which the Vendor and/or Auctioneer may sustain by reason of the Purchaser's default in the observance or performance of any of his obligations under these conditions, shall be recoverable from the purchaser as liquidated damages. Without limiting the generality of the foregoing the Auctioneer shall be entitled to claim from the Purchaser as liquidated damages any cost or expenses incurred by the Auctioneer or the Vendor pursuant to condition 11(whether or not the amount of the same exceeds the price that was to be paid by the Purchaser from the lot or lots) and (in the event of a resale of the lot or lots pursuant to condition 13)

(a) the amount of any commission lost on a purchase as a result of the purchaser not proceeding with a purchase and

(b) commission (at a rate normally charged by the auctioneer) on the resale and

(c) The costs of advertising in respect of any such resale.

15. AUCTIONEER BIDDING

The Auctioneer may bid for the Vendor or for any prospective Purchaser and any such bid -

(a) need not be expressed to be effective; and

(b) (If the highest bid to which a lot is knocked down) shall be sufficiently evidenced if recorded in the sale books.

16. INTERPRETATION

(a) The headings of the clauses hereof are for convenience only and do not form part of the context nor is the context limited in any way by reference to such headings.

(b) "Auctioneer" means STEERS PTY. LIMITED. (ACN 002 663 443) except that where the context so permits it shall include the person actually conducting the sale on behalf of STEERS PTY. LIMITED.

(c) "Vendor" includes each and every one of the owners of a subject lot and the person or company instructing the auctioneer to offer that lot for sale, and where more than one, jointly and severally.

NOTE:
AUCTIONEERS AND AGENTS ACT, 1941 - WARNING - SECTION 45

It is an offence against the Auctioneers and Agents Act 1941 for any person to engage in, or induce or attempt to induce another person to engage in, any collusive practice which may hinder free and open competition at an auction sale where by -

(a) Retracting the bidding
(b) Abstaining from bidding or
(c) Any other activity which may hinder free and open competition.

SECTION 85c