Consignment Contract

This is a sample contract only, used for consignment sales of property on the eBay auction web site.

CONTRACT EMPLOYING BROKER FOR INTERNET AUCTION OF PROPERTY

This agreement dated MM/DD/YYYY, is made By and Between {Your Name Goes Here}, whose address is {Your Address Goes Here}, herein referred to as “Owner”, AND RKS Solutions, whose address is 4124 Worden Cove, Memphis, TN 38125, herein referred to as “Broker”.

1. Property: Owner is the owner of the following property: {A Description Of Your Property}

2. Employment of Broker: Owner gives the Broker the sole right to auction the above property to prospective buyers using Internet auction sites.

3. Commission: Owner agrees to pay the Broker a commission of {to be determined} of the winning auction bid for management of the Internet auctions. All commissions are to be withheld by Broker from the winning bid of the property auctioned.

4. Auction Fees: {to be determined}.

5. Sole Agency: Owner agrees to refer all inquires from prospective buyers to the Broker. The Broker agrees to use his or her best efforts to auction the property to prospective Internet buyers.

6. Internet Auction Ads: The Broker shall be entitled to advertise the auction of this property and take all necessary steps in accordance with this agreement.

7. Pictures: The Broker will provide suitable pictures of the above stated property.

8. Shipping and Handling: The Broker is responsible for the proper packaging and shipping of the above stated property upon the successful sale and clearance of payment for said property.

9. Liability of Property: The Broker accepts liability for the property only after the property has been inspected by the Broker with the Owner present and a record of the property inspection is submitted in writing along with the auction agreement. Broker shall be released from said liability for any and all properties returned to Owner, if it is found, after more detailed inspection by the Broker or agents thereof, that the property returned would be considered unsellable.

11. Term of Agreement: This agreement shall remain effective until terminated by either party in accordance with the Termination clause of this agreement.

12. Termination: Either party may terminate this contract on thirty (30) days notice. Such termination shall not limit the Broker’s right to auction fees or commissions resulting from pending actions. Broker will return any unsold property to Owner, at a time and place mutually agreed upon. Broker may retain posession of any properties until all pending auctions have been completed and all commissions and fees are determined and settled.

13. Possession of Property: Owner shall allow Broker to remove the property to be auctioned to a place of storage controlled by the Broker. Broker cannot be required to auction property not so removed, without written agreement that Owner will not give up possession of the property except to the Broker upon successful completion of the auction.

14. Signatures: Both the Broker and Owner agree to the above:

“OWNER”

_________________________________________________

“BROKER”

_________________________________________________

Definition of Terms:

Internet Auction Site is defined as any site operating on the Internet for the purpose of auctioning goods. This shall include, but not be limited to, consumer-to-consumer sites, business-to-consumer sites, and business-to-business sites.

Winning Bid is defined as any bid which, under the rules of the site on which the auction is running, is considered a final bid. If the site allows for reserve pricing, wherein any bid which does not meet reserve is not binding, then said bids are not considered Winning Bids, unless agreed to by Owner after the close of the auction.

Reserve Price is defined as the price at which the Owner reserves the right to not sell the property.

Auction Management is defined as the development, placement, and completion of an auction.
Development may consist of, but is not limited to, digitally imaging the property, assembling the text description of the property, and/or assembling any pertinent hypertext links for the purposes of additionally describing the property.
Placement may consist of, but is not limited to, the actual posting of the auction on the Internet Auction Site.
Completion may consist of, but is not limited to, the acceptance and clearance of payment from the winning bidder(s), packaging and shipping of the property or properties sold, and any other activities that an Internet Auction Site may associate with completing an auction.

Addendum:

Owner Packaging: Should the owner make available packaging materials deemed acceptable by the Broker, the Broker may elect to return a portion of the shipping/handling fees charged to the Winning Bidder in exchange for those packaging materials. Use of Owner Packaging and compensation for said packaging is solely at the discretion of the Broker, and the Broker is in no way obligated to use said packaging, or to compensate the Owner for same.

Owner Shipping: Should the owner make available shipping services, such as but not limited to UPS, Federal Express, or other courier or truck line, for the purposes of shipping property duly auctioned, Broker shall be responsible to compensate Owner for the invoiced value of that service, as listed on the invoice presented by the Carrier to the Owner for services rendered. Broker may alternately, with Owner consent, compensate Owner for the service as per the Carriers web site service calculator. If no calculator is available, this alternate method of compensation is not allowed.

Cherry Picking: Owner retains the right to remove property or properties from this agreement at any time, but shall compensate Broker for services rendered in determining the status and/or usability of said properties. Compensation will be based on a billable rate of $75.00 per hour for services rendered, with a ½ hour minimum charge, and is to be paid to Broker before said properties are removed from Broker storage and returned to the Owner.