General Information Coleman & Patterson (herein referred to as Auctioneer), reserves the right to deny or revoke any bidder or buyer (herein sometimes referred to as Buyer or Bidder) at any time, without notice or consent at Auctioneer’s sole discretion. Defaulting or fraudulent bidders are responsible for auction commissions, loss of earnest money, collection and/or attorney fees, and may be reported to authorities. Auctioneer reserves the right to add or remove any property from the auction and make alterations to any auction listings or terms & conditions at any time prior to contract signature following bid strike to a Buyer. Properties identified as “Absolute” will be sold to the highest Bidder regardless of price. All other properties will be sold with a reserve and are subject to the Seller’s confirmation. Auctioneer at its discretion will have the final say as to disputes among Buyer and Seller. Sale day announcements supersede written terms and conditions. Auction Registration All auction participants must be 18 years of age and properly registered in order to bid, buy or sell. Any person buying or selling on behalf of another person or entity must have a valid, legally enforceable, unexpired, recordable power of attorney approved by the Auctioneer prior to the auction day, and if applicable, must be licensed to conduct business in the state of Texas. If a Bidder is bidding on behalf of a corporation, the Bidder shall be individually bound until the Bidder presents a corporate resolution prior to closing. The act of bidding is deemed a representation and warranty by the Buyer to the Seller and Auctioneer that prior to bidding, Buyer has read the “Auction Real Estate Sales Contract” in their entirety, including addenda and amendments (collectively sometimes hereafter, “the Purchase Agreements”). If a Bidder has not read and agreed to be bound by these documents, the Bidder should not bid. Registration Requirements Bidders must present $25,000 cashier’s check payable to “Bidder’s name” (Do not endorse prior to conclusion of auction) at registration between 12:00PM-2:00PM on auction day Friday, August 16th, at 13903 US Highway 287, Stratford, TX 79084 Real Estate Auction. Bidders must submit the cashier’s check before being approved to bid on any part of the property. For Bidders not able to attend the auction event, Bidder must wire the $25,000 (a “wire”) into Coleman & Patterson Escrow Account no later than August 15th (Day Before Auction) to obtain online or phone bidding approval. To obtain wire approval and initiate a wire, contact Auctioneer at 936-661-3411 or send email to david@colemanandpatterson.com. Bidders must have confirmation email from the Auctioneer to participate in the auction. The $25,000 shall be applied as part or all of the “Earnest Money” required for entering into a purchase agreement with Seller. All “wired” funds received from unsuccessful bidders will be returned not later than the second business day following the auction. Acceptance/Rejection of High Bid Seller reserves the right to accept or reject any offers at Seller’s sole discretion, regardless of the manner in which the bid offers are received. High bids will be held for up to seven (7) business days while the Seller evaluates the bid offer and communicates the Seller’s decision about the bid back to the Auctioneer. No bid offer shall be deemed fully accepted until the “Real Estate Auction Sales Contract”, is fully signed by Seller and Buyer. Successful Bidders All Successful Bidders must be prepared to pay a five percent (5%) Buyer’s Premium in addition to the final High Bid amount, equaling the properties Total Contract Price. A successful Bidder must, 1.) Complete an “Auction Real Estate Sales Contract”, immediately following the auction. 2.) Submit the greater of $25,000 or 10% of the High Bid as Earnest Money. If the amount of the Earnest Money is greater than $25,000, Bidder shall provide a negotiable personal check or wire funds to make up the balance. If the amount is less than $25,000, the Auctioneer will retain the cashier check or wire as earnest money deposit for the purchase. 3.) Close on the purchase within forty-five (45) days of the auction. If a high bid is not accepted by the Seller, all Earnest Money will be promptly refunded. All properties are sold with cash settlement and are NOT CONTINGENT UPON FINANCING. Auction Real Estate Sales Contract The successful confirmed Bidder for each property shall execute an “Auction Real Estate Sales Contract” (including all related Addenda) for the applicable auctioned property immediately after being declared the successful Bidder by the Auctioneer. A sample of said documents will be available for review at the auction and may be requested prior to auction for preview. The fully executed Auction Real Estate Sales Contract shall prevail over all terms and conditions of the sale and constitute the entire agreement between the Bidder/Buyer and the Seller. No changes or modifications to the terms and conditions or the Auction Real Estate Sales Contract will be permitted. Failure to execute the Auction Real Estate Sales Contract and to deliver all Earnest Money as provided above following the auction, allows Seller the right to declare the Bidder’s rights forfeited. Closing All properties must close on or before forty-five (45) days after the auction and the Earnest Money Deposit shall be in U.S. funds and shall be held in escrow or with title company’s Closing Agent pending completion of necessary closing procedures, after which the Buyer shall be granted possession of the Property subject to any matters contained in the title commitment and the Purchase Agreements. All Bidders should engage independent legal counsel to examine the commitment for title insurance and all other matters referred to herein affecting the state of title of Properties upon which they intend to bid. SELLER AND AUCTIONEER MAKE NO WARRANTIES OR REPRESENTATIONS, EXPRESSED OR IMPLIED, WRITTEN OR ORAL, WITH RESPECT TO THE STATE OF TITLE OF ANY OF THE PROPERTIES, THE TITLE COMPANY, OR OF THE ACCURACY OR COMPLETENESS OF THE INFORMATION CONTAINED IN THE COMMITMENT FOR TITLE INSURANCE. THE OWNER’S TITLE INSURANCE POLICY WILL BE PAID FOR BY THE SELLER. NO TITLE INSURANCE OR OPINION OF TITLE WILL BE PROVIDED ON ANY MINERAL ESTATE PROPERTY SOLD IN THE AUCTION. SELLER IS ALSO RESPONSIBLE FOR ALL BACK TAXES, ENCUMBRANCES, AND LIENS ON THE PROPERTY, INCLUDING AD VALOREM TAXES (BUT EXCLUDING ANY ROLLBACK TAXES) AND CONDO FEES. ANY BUYER THAT DOES NOT CLOSE WITHIN THE FORTY-FIVE (45) DAY CONTRACTUAL TIME PERIOD MAY FORFEIT EARNEST MONEY DEPOSIT. Cooperating Broker If a Buyer’s Broker/Agent (“Agent”) is properly registered with the Auctioneer, such Agent shall be paid a commission of two percent (2%) of the successful bid price (not including the Buyer’s Premium) by the SELLER. To qualify for a commission, the Buyer’s Agent must be named in writing by registrant no later than the day prior to the auction date. In addition, the Agent is required to 1. Review the “Terms and Conditions” and the Auction Real Estate Sales Contract with the Bidder. 2. Professionally assist the bidder by providing information. 3. Assist the successful bidder with closing. A Buyer Broker/Agent commission will not be deemed earned or payable unless until closing and funding of the sale of the applicable property. Broker Registration Brokers must complete a written registration of their buyer prior to auction day. Broker registration will not be allowed on auction day or thereafter and will not be compensated unless Broker has registered their Buyer no later than 5pm on August 15th, the day prior to the auction. Contact our office at 1-888-300-0005 for information. There will be no exceptions and no oral registrations will be accepted. If for any reason whatsoever (including the default of any party hereto), the Closing hereunder does not occur or if any of the previous steps have been omitted, the Buyer’s Broker will not be paid a commission. Real Property Inspection Auctioneer strongly recommends that Bidders personally view and research each Property prior to bidding. All Properties sell “AS IS - WHERE IS” with NO WARRANTIES either expressed or implied. All Properties will be sold and conveyed by WARRANTY DEED. It is the Buyer’s sole responsibility to: a) perform all inspections (legal, environmental, economic or otherwise) of the Property and to be satisfied as to each Properties condition prior to bidding; b) review all property satisfied as to each Properties condition prior to bidding; b) review all property information and due diligence materials; c) independently verify any information deemed important including information available in public records; and d) inquire of public officials as to the applicability of and compliance with land use and environmental laws, zoning, building, health & safety codes and ordinances and any other local, state or federal laws and regulations. All information contained in Auctioneer’s website and all promotional materials,