Rules of the auction

Concepts used:

1. "Auction organizer" — the organizer of the auction.

2. "Auctioneer" — the person conducting the auction, representing the organizer of the auction.

3. "Auction trade" - the sale of goods at public auction, in which the thing being sold is transferred to the ownership of the buyer who offered the highest price for it.

4. "Auction price" — the highest final sale price of the Lot offered during the auction and fixed by the blow of the Auctioneer's hammer at Auction.

5. "Auction rules" — these rules, in accordance with which the goods are delivered to the auction and sold, as well as the receipt of purchased goods.

6. "Lot" - a product consisting of one or more items of uniform quality, sets, put up for auction, with a certain serial number assigned, for which its own auction price is set during the auction.

7. "Starting lot price" — the price at which bidding begins for each lot (may differ from the Estimate).

8. "Sale Price" — the price at which the Buyer purchases the Lot based on the results of the Auction, according to the Purchase and Sale Agreement, which consists of the Auction Price.

9. "Auction participant" means a natural or legal person who, in accordance with these rules, has been registered and participates in the auction.

10. "Buyer" is the participant who offered the highest price for the lot at the auction.

11. "Step" — a consistent increase in the value of the lot at auction.

12. "Bid"  - an offer of a certain price for a specific lot made by a bidder in the hall, or made by phone, as well as an absentee bid.

13. "Estimate" – the estimated market value of the Lot, which is indicated in the Auction Catalog

14. "Estimated value" - the result of the assessment reflected in the report performed by the appraisal organization.

 

1. General provisions

These rules determine the procedure for conducting an auction for the sale of art objects (hereinafter referred to as lots, objects) that are private or public.

The organizer of the auction is the limited liability company "ART VERNISSAGE" (hereinafter referred to as the Organizer), acting on the basis of an agreement with the Owner (or legal representatives) of the object and acting on his behalf in accordance with the agreement.

The terms of the auction are determined by the Organizer in agreement with the Owner in accordance with these rules.

These rules provide for the possibility of participating in the auction:

- by personal presence or through a legal representative in the trading hall;

- by telephone;

- by means of a correspondence assignment;

- in electronic form through the electronic trading system on the Internet (hereinafter referred to as the Internet Participants), owned by the Organizer, at the address www.artvernissage.art (hereinafter referred to as the electronic platform).

The auction for the sale of items is held at the address of the Organizer indicated in the text message published in the magazine ""Catalog of the auction house "ART VERNISSAGE"" (hereinafter – the Auction Catalog) and on the official website of the Organizer www.artvernissage.art

During the auction, the Organizer acts through an auctioneer who accepts offers from the auction hall and correspondence orders, a secretary, operators who control the receipt of price offers via telephone and through an electronic platform; at other times through their legal representatives.

The auction is held in order for the Organizer to sell the lots put up for auction to the auction participants (hereinafter referred to as Participants) in accordance with the procedure established by these rules.

The organizer provides everybody wishing to participate in the auction with the opportunity to familiarize themselves with the lots put up for auction in the Auction Catalog, at the pre-auction exhibition (during its opening hours) or immediately before the start of the auction.

The description of the items and their condition, including information about losses and restorations are informational and made in the form of accompanying articles of the Auction Catalog. In any case, the buyer must personally assess the condition of the item or trust the opinion of his expert.

Pre-auction exhibitions are held at the address indicated in the Auction Catalog, on the official website of the Organizer.

Before the start of the auction, Participants should carefully familiarize themselves with the lots they are interested in and, if necessary, get advice on the condition of the item, ask questions to the Organizer's specialists. Additionally, if necessary, in order to obtain an expert opinion, the Organizer advises Participants to contact a professional expert whose opinion the Participant trusts. Participants who did not have time to familiarize themselves with the items put up for auction to a sufficient extent before the start of the auction, but who made price offers during the auction, are confident that they have purchased and are paying for the purchased items in accordance with the procedure established by the Rules.

Following the practice of international auctions, the Organizer adheres to the principle of "Caveat Emptor" (from Latin. "let the buyer be vigilant", quality is at the risk of the buyer, the buyer acts at his own risk), according to which the buyer, having made sure of the quality of the item before making a purchase, subsequently bears responsibility for his choice.

For the Bidder in the hall, the Participant's number card is the only evidence confirming the right to participate in the auction. If a Participant allows a third person to own his card or provides access to the "personal account" on the electronic platform to a third person, he is fully responsible for his actions as for his own.

The prices for the exhibited lots are indicated in Uzbek soums.

The organizer reserves the right to refuse the bidder to participate in the auction without explaining the reason for the refusal. The organizer does not issue a permit for the export of items purchased at the auction outside the Republic of Uzbekistan. The specified permit is issued in accordance with the procedure established by the legislation of the Republic of Uzbekistan.

The Participants pay taxes and fees themselves in accordance with the legislation to be applied.

2. Requirements for participation in the auction

2.1. As buyers, the Auction Participants may be:

2.1.1. Individuals who have reached the age of eighteen, including foreign citizens. 2.1.2. Legal entities, including foreign ones, whose representatives, before the start of the auction, must transfer to the Organizer's specialist, if necessary, a power of attorney for the right to participate in the auction and a letter of guarantee with an obligation to pay for the purchased lot (lots). In the event that the purchase is not completed, the submitted documents are returned to the Participant.

2.2. To participate in the auction, Participants submit the following documents to the Organizer:

- An application for participation in the auction. Application forms are posted on the Organizer's website: www.artvernissage.art or by leaving a request by phone: +998 55 515 17 07, + 998 55 514 12 12. Application for participation via the electronic platform is carried out by filling in the appropriate fields of the on-screen application form or on the spot;

- if his representative acts on behalf of the applicant by proxy, a power of attorney for performing actions on behalf of the applicant, executed in accordance with the established procedure, or a notarized copy of such power of attorney must be attached to the application. If the power of attorney to perform actions on behalf of the applicant is signed by a person authorized by the head of the legal entity, the application must also contain a document confirming the authority of this person;

- individuals - residents present an identity document or provide copies of all its sheets; - individuals - non–resident submit a copy of the document confirming the rights of a foreign citizen or stateless person to stay (reside) in the Republic of Uzbekistan, indicate the address of the place of residence (registration) or place of stay;

- foreign legal entities submit an extract from the trade register of the country of origin or other equivalent proof of the legal status of a foreign person in accordance with the legislation of the country of its location;

- certificate of registration with the state authorities of a legal entity, for residents of the Republic of Uzbekistan;

- a document confirming the authority of the head of the legal entity to act on behalf of the legal entity (a copy of the decision on the appointment of this person or on his election), and according to which the head of the legal entity has the right to act on behalf of the legal entity without a power of attorney.

In case of participation in the auction in electronic form, the Participant provides electronic copies of the documents specified in this paragraph.

These documents, in terms of their design and content, must comply with the requirements of the legislation of the Republic of Uzbekistan. Documents submitted by foreign legal entities must be legalized in the territory of the Republic of Uzbekistan and have a duly certified translation in Russian or Uzbek. Documents containing blots, erasures, corrections, etc., are not considered.

Applications for absentee participation, participation by telephone and participation in the auction via an electronic platform must be received by the Organizer no later than 24 hours before the start of the auction, an application for face-to-face participation can be submitted at any time, including during the auction, but no later than the start of bidding for the last lot. To participate in an auction using the electronic bidding system, the Participant must register on the Organizer's electronic platform no later than 12 hours before the start of the auction and be admitted by the Organizer to participate in the auction.

Registration on the electronic platform involves filling out an electronic application form, creating a personal account of the Participant in the electronic trading system ("personal account"), as well as confirming the participant's consent to these Rules.

The organizer, using software tools, ensures that it is impossible to submit applications for participation in the auction through an electronic platform, in which not all the provided fields are filled in. In order to ensure the correct identification of Participants, applicants are required to provide their current contact information.

The organizer reserves the right to verify the relevance of the data submitted by the participant before granting admission to the auction. If the participants provide irrelevant data, the Organizer has the right to refuse the participant access to participate in the auction.

2.3. To participate in the auction, you must register before the start of the auction and receive a Participant's number card. A participant participating in the auction via an electronic platform is assigned a number, which is the equivalent of a Participant's number card. The operator representing the Internet Participants is issued a card with the designation "I" without a number. A Participant's number card is issued to the Operator who serves the Participant by telephone. To participate in the auction by correspondence, the Participant will leave an application for participation in the auction to the Organizer on the form of the correspondence bid, indicating the numbers and names of the lots selected by him in accordance with the Auction Catalog, the maximum price that the Participant is willing to pay for each of them.

The Organizer refuses to issue a numbered card to the Participant and accept an assignment in absentia if the applicant has not submitted the necessary documents for participation.

2.4. In case of participation in the auction via the electronic platform, the notification is sent to the Participant in the "personal account" and by e-mail to the address specified in the registration data.

2.5. In case of participation in the auction via the electronic platform, the Participant must log in to the electronic trading system under his account before the start of the auction and be ready to submit price offers.

3. The procedure for conducting the auction

3.1. The start time of the auction is indicated in the information message published in the Auction Catalog. In case of participation in the auction via an electronic platform, notification of the start and end time of bidding for each lot is determined by a change in the state of bidding for the lot. The bidding is conducted in the order of the lot numbers. Lots are put up for sale in the order in which they are presented and numbered in the Auction Catalog. On the electronic trading platform, in addition to the lot number in the Auction Catalog, the lot is assigned a number of the type ART-V-XXXX, where XXXX is the unique lot number on the electronic platform.

3.2. The auction is conducted by the auctioneer and regulated by the secretary. The decision to confirm and accept the price offer is made by the auctioneer. All disputes and disagreements arising during the bidding process are resolved by the secretary. His decision is final.

3.3. The Organizer has the right to withdraw any lot from the auction before the start of the auction without explaining the reason. During the bidding process, this right is delegated to the secretary. In case of withdrawal of the lot from the auction, the auctioneer informs about it before the auction begins. Informing the Online Participant about the withdrawal of the lot is carried out by changing the trading status for this lot on the electronic platform.

3.4. When putting a lot up for auction, the auctioneer announces its number, name and starting price. Information about the starting price of the lot is brought to the Participants immediately before the start of trading.

3.5. All items put up for auction have a reserve price, unless its absence is separately agreed. The reserve price is defined as the confidential minimum price at which a seller is willing to sell an item belonging to him. In this case, the reserve price may not exceed the upper limit of the estimated value of the Item specified in the Auction Catalog. The reserve price is not published in the Auction Catalog.

3.6. If an absentee bid is placed on the lot, the auctioneer informs about this fact before the start of bidding for this lot.

3.7. The Participant's raising of the number card, as well as the price offer made on the electronic platform or via telephone communication, means the Participant's unconditional and irrevocable consent to buy the lot put up for auction at the announced price. Each subsequent raising of cards and an offer made by a Participant via an electronic platform or by telephone means an agreement to purchase a lot at a price exceeding the last named one by a step established in accordance with paragraph 3.8 of these Rules.

3.8. Unless otherwise announced by the auctioneer, the step by which the lot price increases during the auction is approximately 10% of the current lot price. The auctioneer has the right to set a different step during the bidding process by announcing this to the Auction Participants. This provision does not apply to Online Participants.

3.9. A participant present in the trading room personally or in the person of a representative may, during the bidding process, offer an arbitrary price per lot exceeding the previous offer by more than one step. In this case, further counting is carried out from the last price offered by the Participant.

3.10. In the absence of offers from other Auction Participants, namely those participating in the auction personally or through a legal representative in the auction hall, by telephone, by correspondence (correspondence bid), as well as through an electronic platform, the auctioneer repeats this price three times. If, before the third repetition of the declared price, none of the Auction Participants raised the card and did not declare the subsequent price, including on the electronic platform and via telephone, the auction ends. At the end of the auction, the auctioneer announces the sale of the item, names its selling price and the number of the auction winner's card. The winner of the auction, depending on the method of participation, is recognized as a Participant in the hall or by telephone, whose card number and the price declared by him were named by the auctioneer last, either the Participant who won a certain amount according to his correspondence bid, or the Participant who offered the highest price through an electronic platform. At the same time, the lot price reached during the auction must exceed the reserve price. If the reserve price of the lot is not reached during the auction, the auction for the specified lot is declared invalid.

3.11. If the highest price offer received from a participant in the hall participating in the auction via telephone and electronic platform is equal to the price offer of the absentee bid, the participant's offer in the absentee bid is considered the winner.

3.12. If no Participant's number card is raised during the bidding for the lot and there are no correspondence orders (correspondence bids) or there are no price offers made on the electronic platform or by telephone, then the bidding for the specified lot is considered invalid. The item can be sold at a post-auction exhibition.

3.13. The end of trading for each lot is formalized by the protocol. The protocol of summing up the auction results for each lot from the moment of its approval by the Organizer acquires legal force and is a document certifying the right of a person to purchase an item at the price offered by him.

3.14. In the hall where the auction is held, without the prior permission of the Organizer, it is not allowed to conduct any kind of promotions, photography and filming, audio and video recordings, as well as other actions aimed at subsequent audio or visual reproduction of what is happening in the hall. Persons who commit these actions are obliged to leave the hall and are deprived of the right to further attend the auctions of the Organizer, and material media are withdrawn without reimbursement.

3.15. Participation in the auction by telephone

If a person wishing to participate in the auction cannot be present in the auction room in person or through a representative, they can participate in the auction by telephone. To do this, you must submit an application for participation in the auction by telephone, specifying the numbers and names of the lots selected by him in accordance with the Auction Catalog. A participant participating in the bidding via telephone communication is assigned a number that is the equivalent of a Participant's number card. Before the start of bidding for the lots selected by the Participant, the Organizer's specialist will contact him at the specified phone number, who will represent the interests of the Participant during the auction. This service is provided free of charge. The application form for participation in the auction by telephone (form 2) is available on the Organizer's website www.artvernissage.uz and the Auction Catalog in the form of a tear-off coupon or embedded in the Auction Catalog. The application for participation in the auction must be received by the Organizer no later than 12 hours before the start of the auction. All rights and obligations under the transaction concluded during the auction by an employee of the Organizer in the interests of the Participant participating in the auction by telephone arise directly from this Participant. By submitting an application for participation in the auction via telephone, the Participant confirms his irrevocable obligation to pay for the item in a timely manner, in case it is recognized as the winner of the auction for the corresponding lot. The responsibility for conducting a telephone conversation at the phone number specified by the Participant in the application, namely with the Participant, is borne by the Participant himself. In order to avoid disagreements on the results of the telephone conversation, the telephone conversation of the Participant with the Organizer's specialist during the auction is recorded by the Organizer.

3.16. Participation in the auction in absentia

If a person wishing to purchase any lot(s) does not have the opportunity or desire to participate in the auction personally or through a representative in the trading room, or by phone, he can leave an order (correspondence bid) to the Organizer. To do this, you must submit an application for participation in the auction on the correspondence bid form, specifying the numbers and names of the lots selected by him in accordance with the Auction Catalog, the maximum price that the Participant is willing to pay for each of them. The organizer undertakes to purchase these lots at the lowest possible price, taking into account other orders and face-to-face auctions in the hall and offers made via an electronic platform and telephone communication. This service is confidential and is provided free of charge. The offers are stored in sealed envelopes, which are opened before the start of bidding on the day of the auction. If the maximum prices for the same item indicated in two or more correspondence bids are the same, then the advantage is given to the Participant whose order was given earlier. The application form for correspondence participation – correspondence bid (Form 3) is available on the Organizer's website www.artvernissage.uz and the Auction Catalog, in the form of a tear-off coupon or embedded in the Auction Catalog. The application for participation in the auction must be received by the Organizer no later than 12 hours before the start of the auction. By submitting an application for participation in the auction by leaving an absentee bid indicating the maximum amount that the buyer is willing to pay for the item of interest, he confirms his irrevocable obligation to pay for the item in a timely manner if it is recognized as the winner of the auction for the corresponding lot.

3.17. Special conditions for participation in the auction via an electronic trading platform

Access to the electronic platform is provided by the Organizer without charge. Pre-registration of the Participant on the electronic platform and obtaining admission is a prerequisite for participation in the auction through the electronic platform. The Participant must be admitted by the Organizer to participate in the auction no later than 24 hours before the start of the auction. The Organizer is not responsible for problems related to participation in the auction via an electronic platform caused by factors outside the Organizer's area of responsibility, in particular the peculiarities of the technical equipment of the Participant and the provider providing the Participant with Internet access.

4. Payment procedure and receipt of purchased items

4.1. Payment of the cost of the purchased lot can be made after signing the protocol on the purchased lot during the auction, immediately after them, or within the next 10 working days (in case of non-cash transfer) and within 5 working days (in case of cash transfer), based on the protocol of summing up the auction and the invoice issued by the Organizer to the winner an auction for each purchased lot.

4.2. The purchase price does not include taxes, fees and other payments, including fees related to the movement of purchased items outside the Republic of Uzbekistan and is paid by the buyers themselves in accordance with current legislation.

4.3. The right of ownership of the item acquired during the auction passes to the buyer at the time of full payment of its value and signing of the acceptance certificate. Until the final payment for the item, it remains at the disposal of the Organizer.

4.4. The purchased items are transferred to the Participant only after full payment of the invoice issued according to the acceptance certificate.

4.5. For the convenience of buyers, the following forms of payment are possible: in cash through bank cash desks, by wire transfer (the bank details of the Auction Organizer are posted on its official website), online payment systems Payme, UZUM.

4.6. If, after 10 working days from the date of the auction, the purchased items are not paid for in full by the buyer, the results of the auction are canceled, and the Items are not transferable to the winner and he loses the right to purchase them.

4.7. The Organizer has the right not to allow the buyer who has not paid for the purchase to attend subsequent auctions held by the Organizer, as well as not to accept on his behalf an application for absentee participation in the auction, to participate in telephone auctions or to participate in auctions via an electronic platform. Information about the Participants recognized as the winners of the auction, but who did not pay for the purchased lots within the prescribed period (register of unscrupulous buyers), is subject to posting on the official website of the Organizer. 4.8. All payment disputes between the buyer and the Organizer are resolved either through negotiations or in court at the location of the Organizer. 4.9. The buyer must receive the purchased and fully paid items within 5 calendar days after the final payment at the address of the auction venue. The transfer of the item is formalized by the act of acceptance and transfer. 4.10. The items purchased at the auction are exported by the buyer independently at his own expense. 5. Guarantees The organizer guarantees: Provide the buyer with an appraisal company's report on the pricing of the bidding item (on request). Taking all necessary measures to provide Participants with reliable information about the subjects. The information presented in the Auction Catalog is the opinion of the Organizer's specialists, based, among other things, on expert opinions from various organizations, consultations from specialists from third-party research and museum organizations, and collected information about the subject. Taking the necessary measures to ensure the safety of confidential information about the persons who have declared their desire to participate in the auction, and contained in the documents submitted by them. Within five years from the date of sale of the item, any items described in the titles printed in the Auction Catalog in CAPITAL LETTERS, in respect of which the author's name or authorship is indicated without reservations, are authentic and are not a fake. At the same time, the term "author" and "authorship" refers to the creator of the object, period, culture, source of creation of the object. A Participant's statement that the item he purchased is a fake may be presented to the Organizer in writing within three years from the date of the auction. The participant who has submitted a claim in relation to the subject must provide at least two independent expert opinions performed by recognized experts in the relevant field. If it is convincingly proven that the item purchased at the Organizer's auction is a modern fake, then the item must be delivered to the Organizer in the same condition as it was sold on the day of the auction, without any changes. The organizer is considering the possibility of reimbursing the funds spent by the buyer on the purchase of the item, except in cases where: - the description in the Auction Catalog corresponds to the opinion of recognized experts on the day of the auction; - the authenticity of the subject could not be established by the methods of scientific research common at the time of publication The auction catalog, or the item could have been damaged. The funds paid by the buyer for the item purchased at the auction, which is a fake, can be returned by the Organizer after they are received from the original owner of the item who submitted it to the auction. The guarantees apply only to the original buyer of the item specified in the auction protocol and the invoice. Approved by the order ART VERNISSAGE LLC No. 10 dated 04/11/2023