Auction Terms & Conditions AGREEMENT BETWEEN BIDDER AND AUCTIONEER
READ CAREFULLY AND COMPLETELY AS ALL AUCTIONS ARE DIFFERENT
GENERAL INFORMATION: Chisum Realty & Auction ("Auctioneer") has a contract with each Seller to offer their individual property for sale at public auction, and furthermore, identified as separate auction lots. Each Property will be offered at auction in its entirety and is selling subject to a published Minimum Opening Bid and/or Subject to Seller Confirmation. The highest bid, per individual auction lot, that meets or exceeds the Minimum Opening Bid shall be declared the high bid. There will be a five percent (5%) Buyer's Premium added to the winning bid price to arrive at the total contract price to be paid by the successful Bidder.
BIDDING PROCEDURE: Prospective bidders will be given a Property Information Packet which will provide all the necessary information to allow the Bidder to submit their bid(s) on the Auctioneer's online auction site www.ChisumAuctions.com during the bidding period to begin Tuesday, June 16, 2020 at 5:00 AM CST, and ending Tuesday, June 30, 2020 at 5:00 PM CST (the "Bid Deadline").
PROPERTY INSPECTION: It is the sole responsibility of the Bidder to: a) perform all inspections (legal, environmental, economic or otherwise) of the Property and to be satisfied as to its condition prior to bidding; b) review all property information and due diligence materials; c) independently verify any information they deem important including information available in public records; and d) inquire of public officials as to the applicability of and compliance with land use and environmental laws, zoning, building and health & safety codes and ordinances and any other local, state or federal laws and regulations.
All information contained in the auction Property Information Packet and all promotional materials, including, but not limited to, photographs, directions, acreage, square footage, dimensions, zoning, maps used for promotion, environmental conditions, taxes, etc., was provided by or on behalf of the Seller and is believed to be correct; however, neither the Seller nor the Auctioneer makes any promise, representation, guarantee, or warranty as to the accuracy or completeness of such information. There is no obligation on the part of Seller or Auctioneer to update any information. Bidder and/or their Broker shall be responsible for verifying all acreage and square footage amounts through public records.
PREVIEWS: Auctioneer strongly recommends that the prospective Bidder personally inspect the Property prior to the Auction. To schedule a time to visit the Property or to perform an inspection, the Bidder should contact Auctioneer as soon as possible. Private property preview and inspection opportunities may be scheduled in advance by contacting Auctioneer at (855) 435-1492.
BIDDER REGISTRATION: Prior to the Bid Deadline, the prospective bidder must complete, sign, and submit to Auctioneer, all the required Property Information Packet documents. Online bidding will NOT be enabled unless these Auction Terms and Conditions and the required Property Information Packet documents have been signed and agreed to by Bidder and returned to Auctioneer in a timely manner. Any person bidding on behalf on another person or entity must have a valid, legally enforceable, unexpired, recordable Power of Attorney approved by Seller prior to the Auction. If a Bidder is bidding on behalf of a corporation, the Bidder shall be individually bound until the Bidder presents a corporate resolution prior to closing.
CONTRACT PRICE: The Contract Price shall be calculated as a sum of the High Bid and Buyer's Premium. For example: $100,000.00 (High Bid) + $5,000.00 (5% Buyer's Premium) = $105,000.00 (Contract Price).
EARNEST MONEY DEPOSIT: The Earnest Money Deposit shall be calculated as the higher amount of, either $1,000.00, or 10% of the Contract Price. The Deposit; a) shall be in U.S. Funds; b) paid by a wire transfer or cashier's check; and c) shall be held by the Closing Agent pending completion of necessary closing procedures, after which the Bidder shall be granted possession of the Property subject to any matters contained in the Title Commitment and the Auction Purchase Agreement. Using the previous example, the Earnest Money Deposit would be $10,500.00.
BID ACCEPTANCE: Upon being declared the successful high-bidder, Buyer shall immediately execute and deliver a completed Auction Purchase Agreement together with all related Addenda. The fully executed Auction Purchase Agreement shall control all terms and conditions of the sale and constitute the entire agreement between Buyer and Seller. In the event of any conflict between these Auction Terms and Conditions of sale and the Terms and Conditions of such Auction Purchase Agreement; the Terms and Conditions of the Auction Purchase Agreement shall prevail. NO CHANGES TO THE TERMS AND CONDITIONS OF THE AUCTION PURCHASE AGREEMENT WILL BE PERMITTED. BUYER WILL BE REQUIRED TO EXECUTE THE AUCTION PURCHASE AGREEMENT "AS-IS" ON THE AUCTION DATE. THIS SALE IS NOT CONTINGENT ON THE BUYER'S ABILITY TO OBTAIN FINANCING.
CONTRACT EXECUTION: Seller shall execute the Auction Purchase Agreement within twenty-four (24) hours of receipt of the Agreement from Auctioneer unless the property is Subject to Seller Confirmation, upon which Seller may accept or reject the Auction Purchase Agreement within said twenty-four (24) hours.
CLOSING DATE: The closing of the sale of the Property will occur within thirty (30) days after the auction date in accordance with the Purchase Agreement executed as a result of the auction sale.
BUYER'S BROKER GUIDELINES: If a Buyer's Broker is properly registered with the Auctioneer in accordance with the guidelines specified within the Buyer's Broker Registration Form, then at closing, the Buyer's Broker shall be paid a commission of two percent (2%) of the High Bid amount. If for any reason whatsoever (including the default of any party hereto), the Closing hereunder does not occur, then no commission shall be due and payable to Buyer's Broker. To qualify for a commission, the Buyer must register the Buyer's Broker (PRIOR TO PLACING ANY BID), using the Buyer's Broker Registration Form provided by Auctioneer. There will be no exceptions to the guidelines and no oral registrations will be accepted. No Broker will be recognized that is participating as a principal, buyer, or partner in the purchase.
SURVEY: If a new survey is necessary to record the conveyance or is otherwise deemed necessary or appropriate by Buyers lender, the cost of a survey will be at the Buyers expense and closing will not be delayed due to the absence of a survey. The advertised legal description including but not limited to acreage, square footages, and any other measurements are approximate and have been assessed based on county appraisal district property records, aerial photos, or other reliable sources. Information supplied by Auctioneer should not be deemed reliable and prospective buyer should verify all legal descriptions and boundary lines.
DISCLAIMER: Personal on-site inspection of the Property is recommended, and the bidders are advised to independently verify all information they deem important. This Property is being sold "AS-IS", "WHERE-IS" and with "ALL-FAULTS". The Seller and Auctioneer have not made, do not make and will not make, and hereby disclaim, any representation or warranty, whether expressed or implied or statutory, whether oral or written, with respect to the Property, including, without limitation, any warranty as to its value, condition, acreage, square footage, suitability, merchantability, marketability, operability, zoning or subdivision regulations, mineral rights, wind rights, water rights, environmental condition or fitness for a particular use or purpose. No Guarantees are given as to the availability of utilities or accesses, or the permitted or allowable uses of the Property.
Neither the Seller, its attorneys, any broker, nor the Auctioneer, shall be liable for any relief including damages, rescission, reformation, allowance or adjustments based on the failure of the Property, including, but not limited to, amount of acreage, square footage, zoning, and environmental condition to conform to any specific standard or expectation, or to any third-party documents or information.
AGENCY DISCLOSURE: The Auctioneer is acting exclusively as the agent for Seller in this transaction and is to be paid a fee by Seller pursuant to a separate written agreement between Seller and Auctioneer. The Auctioneer is not acting as agent in this transaction for the Buyer. Any third-party broker is not a subagent of Auctioneer.
EQUAL OPPORTUNITY: All bidding is open to the public. The Property is available to qualified Bidders without regard to a prospective Bidders race, color, national origin, religion, sex, familial status, or physical handicap.
MISCELLANEOUS: 1) All decisions of the Auctioneer are final as to the methods of bidding, disputes among bidders, increments of bidding, and any other matters that may arise before, during, or after the Auction. Auctioneer reserves the right to deny any person admittance to the Auction or expel anyone from the Auction who attempts to disrupt the Auction. 2) Property in whole or part is subject to sale prior to auction day. 3) Bidders are given notice that the Auction may be video/audio recorded and photographed. 4) Auctioneer reserves the right to accept or reject offsite proxy bidding via the internet, by telephone or by written bid. 5) Auctioneer reserves the right to announce additional Auction Terms and Conditions of the sale prior to the end of the Auction. 6) Matthew C. Armstrong (TX#17082) is the Auctioneer of Record and Chisum Realty & Auction is the Broker of Record (TX#9005615). 7) In compliance with TDLR rule 67.100(c)(1), notice is hereby provided that this auction is covered by a Recovery Fund administered by the Texas Department of Licensing and Regulation, P.O. Box 12157, Austin, Texas 78711 (512) 463-2906. Any complaints may be directed to the same address.