SELLER’S LETTER TO AUTHORISE THE AUCTIONEER TO SELL BY PRIVATE TREATY BEFORE THE AUCTION
_________________ (name of auctioneer)
_________________________ (address of auctioneer)
LETTER TO AUTHORISE THE AUCTIONEER TO SELL BY PRIVATE TREATY BEFORE THE AUCTION
The above-mentioned property/item is to be offered for sale by public auction at _____ (time) on __/__/20__ at _________________________________ (address).
- I/we are agreeable to the reserve price, for the purpose of this auction, of Rs. ____________.
- If such circumstances arise wherein the auctioneer is convinced that the property/item will be unable to reach the reserve price agreeable to me/us in the said auction, he is hereby authorised to negotiate a private treaty with regard to the same, before the auction takes place.
- In case the auctioneer decides to undertake any such negotiation, he is bound to follow the stated instructions –
- The auctioneer will inform the me/us of his apprehensions and seek my/our consent before entering into any such negotiation.
- Such negotiation has to be undertaken and completed at least a week before the designated date of the auction.
- The auctioneer shall start negotiating from a price substantially higher than the abovementioned reserve price, and shall consult me/us if no buyer is willing to pay the reserve price. In that case, he can negotiate below that price, with my/our express consent.
- The mode and time period of payment for the property/item has to be approved by me/us, before the same is mentioned in the memorandum of sale.
- In case there is any other matter regarding the negotiations wherein the auctioneer has not been expressly authorised to act on his own discretion, he is to consult and get approval from me/us in that matter.
- In case the property is sold by private treaty, the auctioneer is authorised to sign all documents to form the contract, on behalf of the seller.
_____________________ (name of seller)
_____________________ (name of auctioneer)
_____________________ (name of witness)