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HomeMy WebLinkAboutIV.F - Auction Contract - UBC NorthThis AGREEMENT is made this _______ day of _____________, 20____ by and between _____________________________________ _______________________________________________________________________________________________________________ ___________________________________________ ________________________________________ (“SELLER”) and (strike one) Maring Auction & Realty, Inc., Matt Maring Auction Co., Inc., P.O. Box 37, Kenyon, Minnesota 55946 (“AUCTIONEER”). SELLER hereby agrees to hire AUCTIONEER effective the date above as SELLER’s exclusive agent to sell the real property and/or personal property described below at public auction (“AUCTION”). AUCTION TO BE HELD AT ___________________________________________________________________________ _____________________________________________________________________________________________(location). DATE _________________________, 20___. STARTING TIME _______________________ A.M./P.M. PROPERTY TO BE SOLD: The following real property and/or personal property, if any, (“PROPERTY”) to be sold at AUCTION includes: Legal Description of real property: _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ Parcel ID No.(s): ______________________________________________________________________________________________ Check if additional sheets attached. Description of personal property: _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ Check if additional sheets attached. SELLER’S FEES AND COSTS For the auction services provided by AUCTIONEER, the SELLER agrees to pay, or have deducted from the auction proceeds, the following: AUCTIONEER FEES-personal property ____________________________ AUCTIONEERS FEES-real estate ____________________________ BUYER'S FEE-personal property paid to auctineer ____________________ BUYER'S FEE-real estate paid to auctioneer ____________________ ADVERTISING FEES ____________________________________________________________________________________________________ ADVANCE PAYMENT REQUIRED FROM SELLER __________________________________________________________________________ The SELLER may incur additional fees and costs to complete the transaction, which fees and costs will be exclusively the responsibility of SELLER. An estimate of those fees are provided here: SURVEYING FEES: ______________________; ATTORNEY/DOCUMENT PREP. & CLOSING FEES: _______________________; OTHER FEES: ___________________________________________________ _______________________________________________________________________________________________________________ Maring Auction & Realty, Inc. P.O. Box 37, Kenyon, Minnesota 55946 Ph. 507-789-5421, 800-801-4502 Fax 507-789-5227, Cell 507-951-8354 www.maringauction.com AUCTION CONTRACT: Agreement to Sell Real Property/Personal Property at Public Auction We Sell the Earth & Everything On It. CO. INC. Page 1 RESPONSIBILITIES OF AUCTIONEER: 1. AUCTIONEER shall use best efforts to obtain highest bid possible for PROPERTY at a well-advertised public auction. 2. AUCTIONEER shall use its sole discretion to market, solicit, and advertise the PROPERTY for sale at public auction, by means of newspapers, brochures, mailings, websites, internet, social media, open houses, billboards and/or signage of any type. 3. AUCTIONEER shall maintain accurate records of the AUCTION and sale, and shall give to the SELLER following the sale a detailed accounting of the PROPERTY and final bid price. 4. For Personal Property, AUCTIONEER shall be responsible for collecting sales taxes on each invoice and remitting the sales taxes to MN Department of Revenue within the time required by Minnesota law. 5. AUCTIONEER shall be responsible for transferring titled/registered personal property sold in the State of Minnesota according to the rules and within the time required by Minnesota law to operate as an Auto Auction Dealer in the State of Minnesota. 6. For Real Property, AUCTIONEER is a licensed Realtor in Minnesota and will prepare purchase agreements and condition of property disclosures required by Minnesota law, unless otherwise instructed by SELLER or SELLER’s attorney. AUCTIONEER is not a title company or an attorney, SELLER will need to engage another professional for title and closing services. RESPONSIBILITIES OF SELLER: 1. SELLER shall provide clean, safe, legally compliant and accessible premises, with proper utility service in which to auction and sell the PROPERTY. SELLER shall provide all equipment, and, if necessary, personnel, needed to reasonably and safely make the PROPERTY accessible. 2. SELLER and owner shall provide public liability insurance against all risks for the PROPERTY and premises in amounts acceptable to AUCTIONEER, and shall indemnify and hold harmless AUCTIONEER against any claims, suits, or damages, including attorney’s fees, arising out of AUCTIONEER’s conduct of the sale and auction. 3. SELLER is responsible for maintaining insurance on PROPERTY until the buyer has taken possession of the PROPERTY. 4. SELLER shall provide for rubbish removal and disposal of hazardous waste, and shall indemnify AUCTIONEER against any claims, suits, or damages arising there from, including attorney’s fees. 5. SELLER has the right to add property to the auction. However, SELLER shall not remove or sell any property before the auction unless the SELLER first obtains written permission from AUCTIONEER prior to the auction date. 6. SELLER shall cooperate in all respects with AUCTIONEER during the preparation for and conduct of the auction and sale. 7. SELLER will provide accurate information related to the PROPERTY included in the auction and understands that the failure to provide accurate information could result in the winning bidder refusing to purchase. 8. SELLER remains the owner of the PROPERTY until the winning bidder takes possession of each item of PROPERTY. If the winning bidder does not complete the sale for any reason the SELLER maintains ownership of the PROPERTY and will not receive payment for that PROPERTY. If the auction was not conducted on the SELLER’s property, the SELLER is responsible for removing the unsold PROPERTY from the auction location prior to receiving payment for the auction proceeds. 9. For personal property, SELLER shall deliver to the buyer(s) merchantable title; for real property, shall deliver a deed conveying marketable title to buyer at the real estate closing upon payment of the full purchase price as determined at public auction. 10. SELLER shall act in good faith in completing and signing all documents necessary to the proper closing of the sale of auctioned property, including by not limited to, purchase agreements and condition of property disclosures required by any applicable law. SELLER WARRANTS: 1. SELLER warrants that SELLER has good title and/or all legal rights to sell, and said PROPERTY is free from all encumbrances (Mortgages, Judgments, Liens) except as follows: (if none, write NONE) MORTGAGE/LIEN HOLDER ADDRESS UNPAID BALANCE _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ Check if additional sheets attached. Page 2 2. SELLER warrants to indemnify and hold harmless AUCTIONEER and its agents from any and all claims of any nature arising from this Agreement. 3. SELLER warrants that the terms and conditions of this agreement shall be binding on its heirs, executors, administrators, successors, and assigns. 4. SELLER warrants that it has the right to receive all the proceeds for the auction. 5. After the contract is signed, the SELLER will not remove any of the PROPERTY listed on this contract from the auction. None of the PROPERTY will be sold, or be for sale, except through AUCTIONEER. 6. SELLER warrants if PROPERTY is incorrectly described, based on the description provided by the SELLER, AUCTIONEER at its discretion, may refund the buyer’s money and the PROPERTY will be considered a NO SALE and remain the SELLER’s PROPERTY. SELLER understands that PROPERTY descriptions must disclose anything affecting the material functioning, aesthetics or use and enjoyment of the PROPERTY. 7. SELLER warrants that SELLER has legal access to the auction location and SELLER grants to AUCTIONEER a non-exclusive license to access the auction location for the purpose of conducting all aspects of the auction and sale contemplated in this Auction Contract. TERMS AND CONDITIONS OF AUCTION: 1. SELLER assumes all risk of loss to the Property until title and passes to the Buyer, including but not limited to fire, theft, vandalism, or economic loss. 2. SELLER and AUCTIONEER mutually agree that this AUCTION shall be: (initial a. or b.) a._________________________________ Absolute Real Estate Auction – no minimum, no reserve prices; real estate shall sell to the highest bidder at public auction regardless of the bid price. b. _________________________________ Minimum Reserve Auction – SELLER shall have the right to accept and/or reject any bid price at public auction; however, the SELLER can and will always have the right to remove the minimum reserve and authorize AUCTIONEER to sell said property as Absolution Auction. 3. If SELLER rejects all bids at public auction, the SELLER agrees to pay AUCTIONEER a fee of: $________________ and all advertising fees of $______________ upon conclusion of the auction. If SELLER sells any and/or all Parcels to any other Party within a period of _______days after the auction, the SELLER agrees to pay the auctioneer a fee of $________________. 4. SELLER shall indemnify AUCTIONEER against, and hold AUCTIONEER and its agents, harmless from, any claim, suit, cost or damage, including attorney’s fees, arising out of (1) SELLER’s failure to disclose any lien or encumbrance against the PROPERTY or (2) the breach by SELLER of any term of this Agreement. 5. AUCTIONEER will employ a “Buyer’s Premium”, which shall be paid by and collected from each buyer and retained by AUCTIONEER. 6. SELLER acknowledges that AUCTIONEER may at its option delay or postpone the sale and auction for up to thirty (30) days for reasonable cause. As used in this Agreement, “reasonable cause” shall include, but not be limited to: severe weather, inability to access the site of the PROPERTY or AUCTION; breach of the peace; license or regulatory concerns, or questions, problems, doubts, or clouds on the title of the PROPERTY. 7. SELLER understands and acknowledges that, unless the SELLER and buyer make other arrangements with the AUCTIONEER, the AUCTIONEER, at his/her own discretion, may resell any PROPERTY that have not been removed from the auction site by the buyer on or before the removal date, at bid prices deemed reasonable by AUCTIONEER. 8. SELLER acknowledges and agrees that the AUCTIONEER shall not be liable or responsible for the removal from the auction site any PROPERTY that has not been sold and /or that has been sold but has not been removed from the auction site prior to the removal date. 9. SELLER understands that SELLER will not receive proceeds from the AUCTIONEER for a sale until after the sale proceeds are received by the AUCTIONEER from the buyer or upon closing of real estate. 10. In the event of a breach of this agreement by SELLER, or in the event of cancellation of the sale and auction for any reason, SELLER shall immediately pay AUCTIONEER all expenses incurred by AUCTIONEER including, but not limited to, advertising, set-up, travel, and other expenses, plus a cancellation fee of twenty percent (20%) of AUCTIONEER’s estimate value of gross proceeds had the auction and sale been completed. 11. SELLER shall pay to AUCTIONEER all attorney’s fees and costs incurred in enforcing this Auction Contract. Page 3 12. This agreement is governed in all respects by the laws of the State of Minnesota. The parties agree that Minnesota Courts shall have exclusive jurisdiction regarding any disputes arising under this contract, and that any action brought pursuant to this contract shall be venued in Goodhue County, MN, if in state court, or United States District Court in Minnesota if in federal court. 13. SELLER has had the opportunity to have counsel review this Auction Contract prior to signing. 14. AUCTIONEER and SELLER acknowledge that Maring Auction & Realty, Inc. is a licensed real estate broker in Minnesota, if the sale involves real property, the parties must sign a listing agreement and agency disclosure form pursuant to Minn. Stat. §82.66 and §82.67. ADDITIONAL TERMS: _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ _______________________________________________________________________________________________________________ SIGNATURES: AUCTIONEER _______________________________________________________ ____________________________________ By: ____________________________________ Date Maring Auction & Realty, Inc. _______________________________________________________ ____________________________________ By: ____________________________________ Date Matt Maring Auction Company Inc. As the owner of the auction PROPERTY, or the authorized signer for the SELLER who owns the auction PROPERTY, I have read and understand this document in its entirety. I understand that by signing below, I am entering into a legally binding AUCTION CONTRACT. SELLER(S) ______________________________________________________________________ Date: __________________________________ Signature _______________________________________________________________________ Print name ______________________________________________________________________ Date: __________________________________ Signature _______________________________________________________________________ Print name ______________________________________________________________________ Date: __________________________________ Signature _______________________________________________________________________ Print name ______________________________________________________________________ Date: __________________________________ Signature _______________________________________________________________________ Print name Page 4