REAL ESTATE AUCTION AGREEMENT

The agreement made and entered into this ________ day of ________________, 20____. By and between

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SELLERS NAME

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SELLERS ADDRESS

HEREINAFTER CALLED “Seller”, whether one or more and Furlo Auction Service, Midland, Mi. 48640, hereafter called “Auctioneer“. Whereas, Seller is the owner of certain real estate/property described below, which Seller desires to sell at public auction, and WHEREAS, Seller wishes to employ auction service to effect the sale of said real estate/property NOW, THEREFORE, IN CONSIDERATION of the mutual promises herein contained, it is agreed as follows:

1. Right to sell: Seller grants to Auctioneer the exclusive right to sell said real estate/property as is where is for cash or other consideration as agreed to by the parties. Seller relinquishes his/her right to sell same. Seller agrees to deliver and sell at auction the listed property described hereon. Seller reserves the right to confirmation on auction day.

2. Auction Service: Auctioneer agrees to use professional skill, knowledge, and experience to the best advantage in preparing and conducting the auction. If property does not sell at auction day for any reason and Seller sells this property to a registered bidder from this auction within 180 days of auction the Seller will pay auctioneer his full buyers premium as a commission.

3. Commission, Time and place of sale: Seller hereby employs Auctioneer to sell the aforesaid property at auction on the_________ day of _______________, 20___ at _________o’clock ____ M. to the highest bidder without limit, favor. Auctioneer will charge the buyers a buyers premium _______% of gross total sale for which the property has been sold as compensation for managing, auctioneering and also clerking the auction.

Said auction to be held at__________________________________________________________________________________

Address City County State

4. Description: ___________________________________________________________________________________________

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5. Advertising: It is understood and agreed that Auctioneer will set up and arrange timely advertising which will be at Seller’s expense and will be paid out of the proceeds of sale. Final advertising will be at auctioneer’s discretion. Auctioneer will receive from seller a deposit of $_______________ for advertising and marketing of auction on signing of contract.

6. Insurance: Sellers agree to provide and carry adequate liability insurance against any and all liabilities which may result on premises of Seller. Seller further agrees to indemnify and hold Auctioneer harmless from any claim, loss or damage as a result of said sale and to bear the risk of any loss or damage to any property included in said auction.

7. Terms on sale of real estate: _____________________________________________________________________________

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8. Taxes: It is understood and agreed that taxes shall be paid as follows: _____________________________________________

9. Closing: It is also further understood and agreed that possession of sale real estate shall be given on the following date:_______________________ At: ________________________________________________________________________

10. Mortgages, Contract transfers: Said Sale shall be made subject to the following mortgage, mortgages, or contract transfer. ______________________________________________________________________________________________

11. Merchantable Title: I or we agree to furnish an abstract of title for said real estate brought down to date showing good and merchantable title, or an owner’s policy of title insurance for the sale price of said real estate, and agree to execute and deliver to purchasers a sufficient Warranty Deed or an acceptable contract for sale of real estate.

12. Responsibilities: Seller agrees that once said auction begins, Auctioneer is in charge until auction is completed.

13. Price Assurances: Seller acknowledges that Auctioneer and/or its agent (s) cannot accurately predict the price the property will bring at auction and Seller further acknowledges that Auctioneer and/or its agent(s) have not made any such assurances or predictions of price to the Seller or its agents.

14. Litigation: The parties agree that the exclusive course of action in any litigation or dispute concerning the enforcement of this agreement shall be by arbitration within County of Midland, State of Michigan, and that Michigan law shall govern.

15. Awards: The prevailing Party(ies) in any dispute arising out of the relationship undertaken through this agreement shall be entitled to an award of reasonable cost, arbitration, and fees incurred.

16. Binding Agreement: The Parties agree that this agreement shall be binding on their heirs, personal representatives, successors, and/or assigns, and that any changes to this agreement, in order to be effective, shall be in writing and signed by all parties.

17. Review: Seller and Auctioneer agree that they have had the opportunity to review this agreement and have had an opportunity to be advised as to its contents, requirements and liabilities, and have signed this Service Agreement fully understanding their respective right, responsibilities and obligations as set forth herein.

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SELLER, OR SELLER’S AGENT TITLE ADDRESS TELEPHONE DATE

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SELLER, OR SELLER’S AGENT TITLE ADDRESS TELEPHONE DATE

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Col. Michael W. Furlo CAI, CAGA Date