Terms

Information on terms of auction sale of movable and immovable property

1.      Public notification of auction and laws regulating participants’ behavior and those not participating in bids

1.1. Auction must be held in the period of 11:00 to 19:00; sales must be effected on the day mentioned in the public notification.
1.2. Opening of the auction must be notified via mass media or electronic means of notification minimum 15 days before starting the auction. A public notification must be placed at the site where auction is to be held a day prior to starting.    
1.3. Statutory Information on bids procedure must be included in the public notification.
1.4. Public notification may stipulate payment of 3% of the sum offered by a bidder within 30 minutes; this is a sum included into the amount to be paid; if the payment is failed within the envisaged period the sum is not subject to return.
1.5. Bids Organizer is not responsible for the condition of the subject of bids as well as for data provided by the participants, if inaccuracy is not because of the Organizer’s actions.   
1.6. You may get familiar with the statute regulating bids conduct at the site where auction is to be held minimum 30 minutes before starting. The statute is provided on the base of corresponding application; organizer may require covering of expenses for copying an application form.   
1.7. Amendments and supplements in the public notification are made according to the statutory procedures.
1.8. Bids participants and those not considered as participants, (hereinafter referred to as Observer) take their seats. Those not considered as participants (hereinafter referred to as Observer) may obtain tickets at the amount of 5000 AMD before auction.  
1.9. Participants of auction must not impede bids process; their behavior must take into consideration the following established rules:

a) It is not allowed to express discontent with respect to any bidder as well as personality that is not a participant, with respect to the bids commission, or auction host.

b) It is not allowed to speak during bids, except for cases stipulated by the given regulations.

c) It is not allowed to direct a question to the chairman of the commission before or after bids, while during bids this action must be coordinated with the auction host.
d) It is not allowed to leave the hall of auction during bids, except for breaks between bids; anyhow this action must be coordinated with the auction host.
e) It is not allowed to hide any relations with the person conducting auction, including conjugal.

2. Terms of participation in bids and getting familiar with lot

2.1. Those individuals and legal entities may become participants that from the moment of public notification of bids minimum 30 minutes before starting paid a specified pre-payment amount to the Organizer of auction (the amount of which cannot excess 5% from starting price of the most valuable goods) and got a certificate of participation
2.2. Before bids start participants must be provided opportunity to get familiar with lots stated in the notification.

From the moment of notification the Organizer grants an opportunity to get familiar with lots within the established order and time-frame.  
a) For immovable property – from the moment of public notification before the day prior to auction, every Monday, Tuesday, Thursday and Friday, within the period of 11:00-17:00,
b) For movable property - from the moment of public notification before the day prior to auction, every Monday, Tuesday, Thursday and Friday, within the period of 11:00-15:00,
2.3. Before auction start the Organizer must register the participants, identify them, check their documents determining authorities  as well as other documents stated in the public notification of auction, after which the participant is granted a participation chart based on certificate of participation.
2.4. Information on participants of auction is confidential

3. Organization and procedure of auction

3.1. Auctions are held in classical way /by increasing the price/, or in Dutch way /by decreasing the price/.
3.2. The auction is conducted by the Host, who announces the way of bids, order of submitting bids, name of lot, description, starting price, minimum pace of bids, which is specified at the amount of 5% from starting price of the property and can be rounded up accurate within 100 AMD to the maximum whole number.
3.3. Participant of the auction raises a chart with a number corresponding to the certificate of participant, announcing his consent to obtain the lot by the stated price. The Host continues the bids unless a single participant remained who may offer the highest price, after which the bids are stopped. In case if no one shows consent to obtain a lot by the announced price the Host repeats the starting price. When after announcing a lot three times at its starting price (in case of Dutch bids – at the minimum price) neither participant shows interest the bids for that lot is considered a failure. 
3.4. In case with classical bids, each participant may add a lot price by one or more pace or by amount not less than one pace raising a chart with a number corresponding to the certificate of participant The Host carries on bids unless a single participant remained that may offer the highest price, who is considered a winner of bids after the Host’s three times announcing of the offered price and confirming the deal by the third fall of the hammer.
3.5. In case of the Dutch bids, the Host decreases the starting price unless one of the participants raises a chart with a number corresponding to the certificate of participant showing his consent to obtain a lot at the announced price whom the Host considers the winner of bids.
3.6. In case of the Dutch bids, the sale price cannot go lower than 50% of the starting price, if otherwise is not stipulated by the contract between the Organizer and Participant.  
3.7. In case of classical bids, if some participants made equal bids simultaneously, after which no one announced higher bid, the Host decides the winner of bids by means of lot.   
3.8. The decision on announcing a winner of bids by means of lot is made up as follows:    members of auction commission, by open voting and by prevailing mojorirty of votes, decide  between participants bidding simultaneously, after which papers with the number corresponding to that of mentioned in the participants’ certificates are put fourfold into non-transparent box. That participant is considered to win bids, the certificate number of which is first taken out from the box by the Host.   
3.9. In case of the Dutch bids, if more than one participant made equal bids simultaneously, members of auction commission, by open voting and by prevailing mojorirty of votes, decide  on participants bidding simultaneously, then classical bids are held between the bidders, admitting their offered bid as a starting price. If no one of the particpants offers bid higher than the starting price, that participant is declared a winner who won in the lot, as specified in the point 3.8. of the given regulations. .
3.10. The bid winner and the Organizer sign a minutes on bids results (in two copies), and the Organizer delivers one copy of it to the Participant, in case if the latter makes all payment within three days.

3.11. If the bid winner has objection regarding the minutes, it is being mentioned in the minutes by a special note after other terms.

4. Payment of lot value

4.1. In case if no terms are specified in the public notification of the auction, the bids winner is liable to pay the value of the lot within 10 days after signing the minutes.  The bid winner is provided with a payment order in two copies, one of which is kept by the Organizer, moreover pre-payment is included in the amount to be paid by the winner. The bid winner pays an amount mentioned in the payment order within the specified period to the account noted in the payment order or to cash desk and presents the receipt for payment to the Organizer.
4.2.  If the public notification has stipulated that the bid winner can pay at least 3% of his/her bid price on the spot within 30 minutes, the mentioned sum alongside with the pre-payment is calculated in the total amount to be paid.  In case of obtainment of more than one lot the pre-payment is calculated in the amount of that lot, the selling price of which is higher.
4.3. If the bid winner fails to perform requirement of the point 4.2 he/she is being deprived of the right of participation and is eliminated. After that the bids on that lot re-start from the starting price. The bids keep on to be held until there are buyers for that lot, and it is considered a failure in case if no buyer is found. If the bid winner performs requirements of the point 4.2, he/she is announced a winner of auction and the minutes on bids results are being signed between him/her and the Organizer.      
4.4. In case of non-payment of the amount within the specified period the pre-payment made by the bid winner is not returned /as in case with the amount paid as per the point 4.2/ and is being handled by the Organizer, while the lots bids are considered a failure.
4.5. The price set during the bids is being paid on the day of signing the minutes on the bids results, in case if that price does not excess fifty times the amount of the minimum salary 
4.6. The payment of the lot value is not subject to setoff.
4.7. Three working days, after bids went through or have been declared failure, the Organizer based on  written application of the bidder returns the pre-payment to the participants failed to win the bids, except for the case as described in the point 4.3. Otherwise, the amount of pre-payment is being handled by the Organizer.