Burda Auction, s.r.o.

Terms and Conditions of Burda Auction, s.r.o. Auction House

By the submission of bids, the following Terms and Conditions of the Auctioneer are recognised and accepted:

I. General Provisions

1. These Terms and Conditions are issued to direct and manage the sales of philatelic and other collectable items at auctions of Burda Auction, s.r.o.

2. Under the Terms and Conditions, the auctions are conducted as is customary in the international trade with philatelic and other collector's items and in conformance with the legal regulations of the Czech Republic.

3. Only the clients of the Auction House and other persons approved by the Auction House are eligible for the auctions.

4. The Auction House is Burda Auction, s.r.o., Identification No. 27697754, with the registered office at Dejvická 306 / 9, 160 00, Praha 6.

5. The dates of the auctions can be found at the Auction House's website, www.burda-auction.com, in the auction catalogue, in the media, etc.

6. The Terms and Conditions are binding on all auction participants and such participants undertake to comply with them.

II. Glossary of terms used

The following is a glossary of the terms used in the Terms and Conditions:

1. item – collected stamps or other collectible as listed by the auction catalogue under a unique number;

2. auction – a form of the sale of stamps and other collectables with items being sold for the highest bid price by a previously unknown number of buyers. The title to the item is transferred to the successful bidder after its price and an auction fee is paid;

3. aftersale – all unsold auction items are offered after the end of current auction for starting prices + commission (buyers premium) of 21% (including VAT). In case of several bids on the same unsold item, the time of placing the bid is decisive, and the item is sold to the first bidder.

4. auctioneer - is a person appointed by the auction house to direct and manage the auction, carrying out on behalf of the auction house all the steps required such as opening and managing the auction, directing the bidding and stopping the bidding by indicating the winning bidder;

5. item owner - natural person or legal entity who is interested in an auction taking place and has signed a written sales contract with the Auction House for a particular item in an auction;

6. burda|LIVE BIDDING – special web application for online bidding in real time from any place;

7. absentee bid – a bid made by a prospective buyer prior to the auction and sent in via the Auction House's website, by e-mail at info@burda-auction.com, or by filling in and sending to the Auction House a form inserted in the printed catalogue. Such bids are accepted no later than one day prior to the auction. A written bid cannot be sent in by fax;

8. opening price – is the minimum price of an item listed in the catalogue. In the auction, the Auction House will not accept bids lower than the opening price;

9. starting price – equals the minimum of opening price or opening price increased by absentee bids. The starting prices are published prior to the auction at the website and, in the printed form, and can be found by the prospective buyers at the Auction House;

10. auction participant – legal or natural entity eligible for auction. An auction participant may only be a registered client of the Auction House and may not be the owner of an item or person acting in favour of the item being sold for the owner. A buyer must be a legally competent person (in the sense of the provisions of Section 3 of Act no. 26 / 2000 Coll.), older than 18 years of age, complying with the Terms and Conditions, and customs of decent and adequate behaviour at an auction, and a person who has not obstructed any previous auction of the Auction House. Nobody is allowed to bid on behalf of such persons as described by the previous sentence. The auction participants must prove their identity by submitting valid identification documents such as an identity card, or passport. Taking part in the auction may also be conditioned by depositing an auction security if so required by the Auction House. From the Auction House, an auction participant will receive a number with which he or she will take part in the auction.

11. auction catalogue – a coloured printed list of items to be offered for sale in a particular auction to the Auction House clients. A catalogue is also published at www.burda-auction.com.

12. successful bidder (buyer) – is an auction participant placing the highest bid as publicly indicated by the auctioneer. After paying the price, the buyer will become the owner of the item.

13. Auction House clients – auction participants interested in buying stamps and other collectibles in auctions held by the Auction House and registered by the Auction House. The clients are not legally entitled to registration and the Auction House may refuse registration at its discretion without giving any reason. If a client violates the Terms and Conditions, his or her registration may be revoked.

III. Conducting an auction

1. Information about auction items is provided by the Auction House at its website and in a printed auction catalogue. An auction participant is encouraged to personally inspect all the auction lots at pre-sale viewings and during the auction in the Auction House office. Those interested in inspecting the auction lots are obliged to comply with the measures undertaken by the Auction House to protect the auction property.

2. An auction is opened by a representative of the Auction House, who may announce last changes in the auction catalogue. Such changes can also be found at the Auction House website.

3. An auctioneer conducts the auction of individual lots in the order as listed in the catalogue. After the auctioneer announces the staring price, the prospective buyers place bids with the auctioneer by raising their numbers, via burda|LIVE BIDDING, through an auction agent, or by phone in cooperation with a person authorised by the Auction House. The prospective buyers may place several bids for a single lot, only the highest one being valid. The auctioneer must always act in a way that is the most advantageous to the prospective buyers by increasing the written bid, the bid via burda|LIVE BIDDING or by a prospective buyer in the auction room by a single minimum increment as given by the below table. A buyer bidding via burda|LIVE BIDDING or by phone is bidding at his or her own risk. The Auction House is not responsible for problems with connection due to an Internet or phone failure.

4. Minimum bid increments made by the auctioneer

The auctioneer shall decide on the order of bids. Absentee bids not conforming shall be reduced to the appropriate level.

5. If no auction participant places a higher bid, the auctioneer will repeat the last bid made and, by knocking a hammer, closes the bidding for a particular lot, which means that the successful bidder with the highest bid is entitled to buy the lot for the price of the successful bid (the price is increased by a commission). The buyers are bound by their bids, which constitute an irrevocable contract of sale for the item offered for sale. The price of the successful bid cannot be lowered.

6. All objections, protests, and suggestions to the way the auction is conducted are finally dealt with by the Auction House respecting the rules of fair trade and international auction customs. The objections, protests, suggestions, and notifications must be made directly in the auction room otherwise they will not be taken into consideration.

7. The Auction House reserves the right to interrupt an auction, postponing it to a later date especially for serious technical reasons such as connectivity or power failure preventing the Auction House to provide support for the auction.

IV. Method of payment

Items bought in an auction must be paid for within 7 days after the close of the auction unless otherwise agreed with the Auction House.

1. In addition to the price bid, the successful bidder is charged by the Auction House a commission (buyers premium) of 21%. For lots denoted by D+, the successful bidder must pay a commission of 15,7 percent of the price plus VAT given by the legal regulations currently in force of the price bid by the successful bidder increased by the commission.

2. The total price stated in an invoice can be paid:
   - personally in cash
   - by a bank transfer (into the account indicated on the invoice). Bank fees are at client costs.
   - credit card payments for Cards issued within EU are not accepted. Cards issued outside the EU will be charged a transaction fee of 3,5 of the invoice total. VISA Business, MasterCard Business, Diners Club and Discover credit cards are not accepted.

3. Due to extreme exchange rate volatility, we reserve the rights to demand payments only in Czech Crowns (CZK) for all issued invoices.

4. The title to an item is transferred to the successful bidder buyer its price plus the commission has been paid.

5. Auction obstruction - an auction may be obstructed by an item being not paid for or not collected. If an auction is obstructed, the Auction House is entitled to a fine of up to 20% of the price bid by the successful bidder and the successful bidder must pay such a fine immediately. In addition, the Auction House may refuse to admit such a person to further auctions.

V. Collection of item purchased

a) The successful bidder is obliged to collect the paid for item no later than 20 days after the auction unless otherwise agreed with the Auction House.

b) The Auction House will hand over the item in person or send it to the address indicated by the successful bidder. The flat-rate shipment will not be charged if the item is collected in person at the Auction House. If the item is sent by post to an address in the Czech Republic, a flat-rate shipment of 150 CZK is charged or 180 CZK for a C.O.D. shipment.

c) The flat-rate shipment outside the Czech Republic is calculated in advance by a special computer program based on the current rates charged by the Czech carriers, mainly by Česká pošta, s.p. The flat-rate shipment fee charged may be different from the postage (passage money) actually charged by the carrier. This does not constitute a reason for complaint or entitlement to being given back the money.

VI. Complaints

1. While the description of the auction items is made in good faith based on expertise and information generally available, it may not guarantee the condition described. The Auction House website provides additional and updated information on each item (front sites, and mostly also back sides of all items, also images from colletions etc.). The printed auction catalogue as a promotion document may not include complete information on an item.

2. It is the item's owner who is responsible for its genuineness and quality not the Auction House.

3. Written complaints can be sent to the Auction House's address. Returning items by a C.O.D. shipment is excluded and the Auction House will refuse to take over all such shipments sending them back to the sender. The deadline for filing complaints with the Auction House is 20 days of the date on which the auction was closed.

4. This deadline for filing complaints with the Auction House may be extended if the buyer asks for this because of the time needed to have the item checked for genuineness by an expert, which is always done at the buyer's expense. The buyer must inform the Auction House of this by the above deadline. The item complained about must be returned in the original condition and packing.

5. A complaint cannot be filed:
   - about the defects apparent from the description or image of an item available at the Auction House's website;
   - about a lot composed of 10 or more items (series, lots, mixed lots)
   - about lots marked KVP in the text (quality to be viewed)
   - about lots denoted [SBÍRKY] (collections).

6. In view of the above, the Auction House encourages personal inspections of items. The auction participants agree that the Auction House conducts the sale of items (collections, lots, and accumulations) as is within the meaning of Section 1918 of the Civil Code and their defects cannot be complained about.

VII. Export abroad

1. The sale and export of objects is governed by Act No. 71 / 1994 Coll. concerning objects of cultural value as amended. Such objects can only be exported from the Czech Republic after submitting an official document certifying that such objects are not cultural monuments. The auction participants must acquaint themselves with the sale conditions for objects of cultural value as set forth by Act No.71 / 1994 Coll.

2. For a consideration, the Auction House can offer an expert's opinion of an object as a basis for an export certificate.

VIII. Protection of personal data

The Auction House treats the personal data in conformance with the current legal regulations, in particular Act No. 101 / 2000 Coll. The buyer's personal data stored will not be shared with applications of third parties. By providing their personal data, auction participants consent to the data being processed by the Auction House to offer its products and services and disseminate information on the activities of the Auction House, pursuant to Act No. 480 / 2004 Coll., for a period ended by the consent being revoked. The Auction House may assign the processing of personal data to a third-party supplier.

IX. Copyright

Unless otherwise explicitly agreed on, the Auction House is the owner of the copyrights to all the content published by its website, catalogue, and any other printed materials. Thus, the content may not be used without the Auction House's prior written consent. An exception may be use for non-business purposes provided that the content is not modified or further disseminated. Even after the title to a property is transferred to the successful bidder, the Auction House may use the image and text description of the property.

X. Final provisions

1. These Terms and Conditions are binding on all auction participants and item owners, who are obliged to acquaint themselves with the details of the Terms and Conditions.

2. Aftersale of unsold items are governed by the Terms and Conditions.

3. For any disputes, rights to be exercised, and obligations to be met, the Czech version of the Terms and Conditions will prevail. All legal acts under the Terms and Conditions are governed by the law of the Czech republic. In the event of a litigation concerning the mediation of purchase and sale of an item in the auction, the competent court is the court for the district of Praha 6.

Burda Auction, s.r.o.