AUCTION TERMS & CONDITIONS

OnLine Only Real Estate Auction Â– Carteret County, NC Land Auction of 78 +/- Acres Â– Bidding Ends Thursday, MAY 26, 2016 at 4:00 PM*

Property Location: 5273 Merrimon Road, Beaufort, NC 28516 Â– 78 +/- Acres offered divided Â– Carteret County, NC - Selling for the Estate of Alfred R. Chouinard.

*OnLine Bidding ENDS Â– Thursday, MAY 26, 2016 beginning at 4:00 PM Eastern Daylight Time (subject to the Â“Auto Extended Bidding FeatureÂ” due to bidding activity at the closing). Please take the time to read the following Auction Terms & Conditions for the Online Auction. When you register to bid in this Auction you are required to acknowledge that you have read and expressly agree to abide by the Auction Terms & Conditions.

1. Purchase and Sale Contract: Each property is offered under the specific terms provided in the Â“Contract for Sale of Real PropertyÂ” (aka Â“Sale ContractÂ”). The Sale Contract is available at www.HouseAuctionCompany.com. Click on Â“View DocumentsÂ” Link located on the Auction Listing Page for each property. Please read and review the Sale Contract thoroughly prior to bidding on any property. If you have not read and understand the Sale Contract then Do NOT Bid.

A credit card, either Visa or MasterCard is required to register and bid.

2. AUCTION ENDING TIMES: All House Auction Company Online Auctions are timed events with a scheduled closing time, which is subject to extended bidding due to bidding activity at the closing of the Auction. NOTE: House Auction Company Online Auctions have Â“AUTO EXTENDED BIDDINGÂ” and Â“EXTEND ALL BIDDINGÂ” features which will become active in the last 5 minutes of the scheduled bidding period. Any bid placed on ANY Property within the last 5 minutes of the bidding period will automatically extend the bidding period on ALL Properties in the Auction. The Â“Auto Extended Â– Extend All BiddingÂ” feature remains active until no further bids are received on ANY of the Properties in the Auction in the final 5 minutes. House Auction Company reserves the right to reduce and/or adjust the auto extension time period.

3. Â“EXTEND ALL BIDDING FEATUREÂ” Example: If the bidding is originally scheduled to end at 4:00 pm, and ANY property receives a bid at 3:57 pm, then the bidding period for ALL Properties in Auction will automatically extend to 4:05 pm. Once this begins, anytime a bid is placed on any Property in the Auction with under 5 minutes remaining, an additional 5 minutes is added to the bidding period for ALL Properties in the Auction. House Auction Company reserves the right to reduce and/or adjust the auto extension time period.

4. TERMS: At the close of the auction, the successful bidder(s) will be emailed the Contract Package (which includes Sale Contract and related sale documents) to be properly and completely executed without modification. Successful bidder(s) shall promptly return the completely executed Sale Contract and related documents to House Auction Company, Inc. by email or fax within 24 hours of receipt. Successful bidders shall deposit 15% (fifteen percent) of the Contract Purchase Price with House Auction Company, Inc. in the form of bank cashierÂ’s check, wire transfer, or guaranteed personal funds within 24 hours of receipt of the contract package. The entirety of the remaining balance is due at closing as stipulated in the Â“Contract for Sale of Real PropertyÂ”. Instructions for wire transfer and /or cashierÂ’s check transmittal will be sent by e-mail to the successful bidders. Buyers shall be responsible for all wire transfer fees related to their deposit through the entire transaction.

5. BuyerÂ’s Premium: A 10 % BuyerÂ’s Premium will be added to the bid price to determine the contract purchase price. BuyerÂ’s Premium Example: Bid Price: $100,000 - Plus 10% BuyerÂ’s Premium: $10,000 Â– for a Total Contract Purchase Price of $110,000.

6. CONTRACTS: Contract Documents will be sent by email to the successful high bidder(s) at the conclusion of the auction. Successful high bidders (Â“BuyersÂ”) must properly execute and email or fax the executed contract and related sale documents to House Auction Company, Inc. and submit the earnest money deposit within 24 hours of receipt. Contract documents are required to be fully and correctly executed without modifications. Successful high bidders not executing and returning their contract with earnest money deposit within 24 hours of receipt will be considered in default and subject to an Administrative Fee (as defined below). All Administrative Fees are nonrefundable.

7. Auction Administrative Fee: In the event a winning bidder fails to submit the properly signed Â“Contract for Sale of Real PropertyÂ” and earnest money deposit as provided in the Terms & Conditions, the winning bidder will be charged an Administrative Fee of $2,500.00 on the credit card provided at auction registration. Additional default remedies are reserved by House Auction Company, Inc. and the Seller as provided in the Auction Terms & Conditions and the Â“Contract for Sale of Real PropertyÂ”. ALL Administrative Fees are nonrefundable.

8. Bidder Verification: The identity of all bidders will be verified, bidding rights are provisional, and if complete verification is not possible, House Auction Company, Inc. will reject the registration and bidding activity will be terminated for an unverified bidder. Bidder responsibilities include, but are not limited to: Bidders agree to keep their user name and password strictly confidential, as they are responsible for ANY and ALL activity involving their account.

9. Outbid Notification: Until the auction begins to close, the bidding software will notify bidders by email when they have been outbid. Bidders may also find out if they have been outbid by refreshing the individual parcel / tract information. Due to varying internet connections and speed, sometimes email notifications can be delayed. Registered bidders expressly understand and agree that House Auction Company, MarkNet Alliance and the Seller are not responsible or liable for the failure of any part of the bidding process or internet bidding.

10. Property Information & Inspection: By registering and bidding in this auction, Bidder expressly acknowledges and warrants that they have personally inspected the property, or have arranged for their agent to conduct an inspection of the property, or have waived their right to inspect the property they are bidding on, and further agree to abide by the Terms and Conditions as set forth herein. House Auction Company, Inc. (Â“AuctioneerÂ”) is not responsible for any missing or incorrect information. Descriptions provided by Auctioneer are provided in good faith and are matters of opinion. It is the bidderÂ’s sole responsibility to conduct any inspections to determine the condition of the property and feasibility of bidderÂ’s intended use. By placing a bid, this creates a contractual agreement by the bidder to purchase the property at the high bid price plus Buyers Premium and any additional fees included in the closing of the real property transaction.

11. INSPECTION Â– PREVIEW DATES: Bidders are encouraged and welcomed to inspect and preview the property at their leisure and liability from 7:00 AM to 7:00 PM daily. For private appointment, please call House Auction Company, Inc. at 252-729-1162 to schedule.

12. Title: Seller will convey to the successful Buyer(s) good and marketable title to said properties by General Warranty Deed.

13. Bid Confirmation: Property is selling subject to SellerÂ’s confirmation unless advertised as Absolute.

14. Ad Valorem taxes: Current year Ad Valorem taxes (real property taxes) will be prorated between Seller and Buyer as of the date of closing.

15. Personal Property: This sale excludes ALL personal property located on the properties.

16. SURVEY: These properties will be purchased from the Preliminary Sale Map incorporated in the Contract for Sale of Real Property, entitled EXHIBIT Â“CÂ”, and posted on the AuctioneerÂ’s website. On the Preliminary Sale Map the distances and acreages are estimated and will be adjusted based on a final survey conducted by the designated surveyor named herein and in accordance with existing subdivision laws. Should Tract #1 and #2 sell divided (to separate buyers), a boundary survey will be made by Baldwin Design Consultants, PA, 1700-D East Arlington Blvd., Greenville, NC 27858 Â– telephone 252-756-1390, land surveyor registered in the State of North Carolina, to perform a boundary survey of the Property in accordance with the minimum technical requirements for the State of North Carolina and certified in favor of Buyer and Seller. The Survey shall be subject to SellerÂ’s approval. The Surveyor will charge the Buyer of Tract #1 a survey fee of $1,600.00 and the Buyer of Tract #2 a survey fee of $1,350.00. Division stakes are intended for approximation use only. Actual boundary lines are to be determined by boundary field survey and may vary slightly by field markers. It is understood that the acreage and dimensions of the tracts may vary according to actual final boundary survey. These Tracts are selling by the Â“whole dollarÂ” and there will be NO adjustment in price based upon the final acreage in the final boundary survey. All survey expenses are to be paid by the Buyer. For this fee, the surveyor will mark all property corners and provide the Buyer with a recordable Plat. This fee does not include the actual opening of the lines. The surveyor will open lines for an additional fee. As used herein, the term Â“surveyed acreageÂ” means the total gross acreage of the Property without any deduction for any portion thereof located in the bounds of any roadways (except deeded roads), easements or other rights of way, including, without limitation, electric transmission lines or other utility easements. In the event either party defaults under the terms of the Sale Contract, the defaulting party will be responsible for the survey expense. Should Tracts #1 and #2 sell as a whole to one Buyer, NO survey will be required and the property will be conveyed from existing legal description as shown in Deed Book 1185, Page 122 and Map Book 31, Page 49, Carteret County Registry.

17. Closings: Time being of the essence, these sales shall be closed on or before June 28, 2016, or no later than ten (10) days from receipt by House Auction Company, Inc. of the final recordable plat as provided above and in EXHIBIT B, paragraph 1 of the Contract for Sale of Real Property, whichever occurs later. However, in no event shall this sale be closed later than July 28, 2016, except as provided in the curative title work section of the Contract for Sale of Real Property. BuyerÂ’s closing attorney shall provide the closing package to the SellerÂ’s Broker and SellerÂ’s closing attorney NO LATER than four (4) business days PRIOR to the scheduled closing date for SellerÂ’s review and execution. Seller will not attend closing; however Seller will deliver closing documents to the BuyerÂ’s closing attorney to hold in trust pending BuyerÂ’s completion of the transaction. The Seller will pay for the preparation of the General Warranty Deed, documentary deed stamps and SellerÂ’s prorated share of the Ad Valorem (real property) taxes. The Buyer(s) will pay for all other closing costs associated with this sale, including but not limited to preparation of the closing/settlement statements (HUD), State and local recordation fees and taxes, receiving and disbursing the funds, any overnight or regular shipping of documents, all wire transfer fees associated with BuyerÂ’s earnest money deposit and any title insurance or title search fees the Buyer desires. Real estate taxes will be prorated as of the date of closing. By registering and bidding in this auction, Buyer hereby authorizes the closing attorney, the partiesÂ’ real estate agent(s) and BuyerÂ’s lender(s) to release and disclose any buyerÂ’s closing disclosure, settlement statement and/or disbursement summary, or any information therein, to the parties to this transaction, their real estate agent(s) and BuyerÂ’s lender(s).

18. Possession: Possession of the property shall be granted to the Buyer at closing. NO EXCEPTIONS.

19. Agency Disclosure: In all transactions, House Auction Company, Inc. is acting exclusively as agent for the Seller, and not as buyerÂ’s agent. House Auction Company, Inc. reserves the right to remove or cancel the bids or bidding rights and privileges of any party, deemed not to be in the best interest of the Seller, at any time. At auctions with reserve, the seller and/or auctioneer reserve the right to bid. On all other auctions, auctioneer reserves the right to bid on auctioneerÂ’s behalf when permitted by law.

20. Special Note: These properties are selling subject to easements, leases, restrictions, covenants, conditions, zoning and all other matters revealed by a current survey or an inspection of the property or contained in public records. NOTE: The property is selling subject to that Communication Systems Right of Way and Easement Deed as recorded in Deed Book 1013, Page 170, Carteret County Registry.

21. Bidding increments:
$1,000 - $2,000 = $50 increment
$2,000 - $5,000 = $100 increment
$5,000 - $10,000 = $250 increment
$10,000 - $25,000 = $500 increment
$25,000 - $50,000 = $1,000 increment
$50,000 - $75,000 = $1,500 increment
$75,000 - $100,000 = $2,000 increment
$100,000 - $200,000 = $2,500 increment
$200,000 - $400,000 = $5,000 increment
$400,000 - $800,000 = $10,000 increment
$800,000 - $1,000,000 = $25,000 increment
$1,000,000 or Greater = $50,000 increment

22. AuctioneerÂ’s Discretion: House Auction Company, Inc. has full discretion to modify the date and time, order and details of the auction for any reason, including but not limited to technical issues, emergencies, and convenience of House Auction Company, Inc. or the Seller. We gather aggregate information from the website, which may include but is not limited to: number of page visitors, most visited pages, and any and all correspondence. House Auction Company, Inc. has the sole authority to resolve any bidding disputes as they may arise.

23. Bidder Default: Successful Bidder not timely executing the Sale Contract and timely providing the earnest money deposit after the auction under the Terms and Conditions set forth herein, will be considered in default. Such default by the Successful Bidder will result in that BidderÂ’s liability to both the Seller and House Auction Company, Inc. Seller shall have the right to (a) declare this contractual agreement cancelled and recover full damage for its breach, (b) elect to affirm this contractual agreement and enforce it by specific performance; or (c) resell the property either publicly or privately with House Auction Company, Inc. and in such an event, the Buyer shall be liable for payment of any deficiency realized from the second sale plus all costs, including, but not limited to the holding costs of the property, the expenses of both sales, and all legal and incidental damages of both the Seller and House Auction Company, Inc. In addition, House Auction Company, Inc. reserves the right to recover any damages separately from the breach of the Buyer. Nothing herein shall be considered a waiver of any other rights of Seller and House Auction Company, Inc. at law or in equity.

24. Server & Software Technical Issues: In the event there are technical issues related to the server, software or any other online auction related technologies, House Auction Company, Inc., MarkNet Alliance and the Seller reserves the right to extend bidding, continue the bidding, or close the bidding. By registering and bidding in this auction each bidder automatically and expressly acknowledges that House Auction Company, Inc., the Seller, MarkNet Alliance, and the company providing the software shall NOT be responsible or liable for a missed bid or the failure of the software to function properly for any reason. Email notifications may be sent to registered bidders with updated information as deemed necessary by House Auction Company, Inc.

25. Broker Participation: A Broker Participation Commission of 2% (two percent) of the bid price (Â“hammer priceÂ”) is available to properly registered brokers whose prospect (bidder) purchases real estate in the auction and closes in full under the Terms of the Auction and the Â“Contract for Sale of Real PropertyÂ”. A Broker Participation Form with complete instructions is available at www.HouseAuctionCompany.com. Broker must be actively licensed in North Carolina and must register their prospect no less than 24 hours prior to the scheduled closing time of the auction, using the House Auction Company, Inc. Broker Participation Form and in accordance with the guidelines set forth. House Auction Company, Inc. and the Seller will not pay any commissions to brokers acting as principles. Please read and review guidelines.

26. Disputes: This Agreement shall be exclusively construed and governed in accordance with the laws of the State of North Carolina, without regard to its conflict of laws or principles. Any litigation or dispute arising out of this Agreement shall first be mediated before any lawsuit or legal proceeding is filed. The parties shall in good faith agree on a third party neutral mediator. The mediator shall set guidelines. The parties shall in good faith mediate the dispute and divide the cost of said mediator. All mediation shall be conducted in the County of Carteret, North Carolina and shall be subject to the mediation guidelines of the State of North Carolina. If mediation is unsuccessful then all litigation arising out of this agreement shall be adjudicated in a court of competent jurisdiction within the County of Carteret, State of North Carolina. All parties expressly agree to submit to this exclusive venue and hereby expressly waive any grounds for any alternate venue.

27. Disclaimer: House Auction Company, Inc. and Seller have gathered this information from sources deemed reliable and believe it to be correct to the best of our knowledge. All documents and information are being furnished to bidders for the bidderÂ’s convenience and it is the responsibility of the bidder to determine that information contained herein is accurate and complete. Any reliance on the contents shall be solely at the recipientÂ’s risk. Bidders must conduct and rely solely upon their own investigations and inspections. These documents are being provided without any warranty or representation, express or implied, as to its content, its suitability for any purpose or its accuracy, truthfulness or completeness. Bidder acknowledges that Seller has no knowledge as to how many acres of the subject property, if any, may be classifiable as Â“Wet LandsÂ”. Bidder warrants to seller that Bidder has made his own inspection of the property and that he has not relied upon any representations of the Seller or House Auction Company, Inc. with respect to the physical condition of the property or to the uses to which the property may be put. The property is being sold Â“AS ISÂ” Â“WHERE-ISÂ” and with ANY and ALL FAULTS and in such condition as the property may be in as of the date of conveyance, without any warranties, representations or guarantees, either expressed or implied, of any kind, nature, type whatsoever from, or on behalf of Seller. Further, the property is being sold subject to (i) all covenants, restrictions and easements of record; (ii) all rights-of-way and easements for street and utilities applicable to the described property; and (iii) all easements or encumbrances apparent from a visual inspection or survey of the described property. Please review all information supplied and seek appropriate assistance prior to bidding. All announcements made by the Auctioneer either online or at the auction shall take precedence over all other previous information. NCAL # 7889

78 +/- Acres Carteret County Land Auction - Merrimon, NC