Full Arbitration Rules & Policies

All sales conducted through Auction are subject to such Rules or Policies as may be published by or at the Auction location or online at www.dealersauto.com or as may be published by the National Auto Auction Association (“NAAA”), https://naaa.com/. Any claim or dispute between Dealer and Auction and any dispute between Dealer and another customer or consigner of Auction relating to a vehicle registered for sale at an Auction or for an event occurring at the Auction, shall be resolved by Arbitration. Arbitration shall occur pursuant to the NAAA Arbitration Policy or, for matters not directly addressed in that document, by arbitration to occur in the county of the Auction.

For disputes not directly addressed by the NAAA Arbitration Policy, the parties agree that such a dispute is a result of interstate commerce and that the Federal Arbitration Act permits that all disputes shall be resolved by binding arbitration. The non-NAAA arbitration shall be conducted by at least one attorney mutually agreed upon by the parties. If the parties cannot agree upon a single, neutral, attorney arbitrator, the dispute shall be resolved by a panel of 3 arbitrators comprised as follows: Auction shall select one (1) arbitrator, Dealer shall select one (1) arbitrator, and those arbitrators shall select the third arbitrator. There shall be no jury and no class representation claims by either party.

Dealer appoints Auction with a limited Power of Attorney empowering Auction to assist Dealer with the purchase, sale, and/or transportation of vehicles. Except for gross negligence on the part of the Auction, Dealer shall indemnify, hold harmless, and defend the Auction against all claims, loss, damage, expense, and attorney fees that the Auction may sustain by reason of relying upon or acting pursuant to such Power of Attorney.

Dealer assumes all risks of loss, liability, and/or damage incident to or arising out of participation in any auction and for any vehicle left on the Auctions’ premises and Dealer shall provide insurance against such loss, liability, or damage. The Auction disclaims all liability, in tort, contract, or otherwise.

Participant’s Release and Waiver of Liability / Assumption of Risk and Indemnification: Dealer acknowledges that because of the unpredictable nature of motorized vehicles and the potential dangers of Auction personnel and others driving vehicles consigned on or within the possession of Auction, in a densely-populated pedestrian area, there are inherent and assumed risks when attending an auto auction that may cause serious injury, and in some cases death. Acknowledging these facts, Dealer shall indemnify Auction for any claims of injury or death made by Dealer, its Authorized Agents, or their successors, heirs, guests, or officers.

The Dealer agrees that Auction makes no representation as to the condition or worthiness of any vehicle and that all representations are those of the Seller. All vehicles are sold “As-Is” and with all faults, unless otherwise announced.

The Dealer may be required to repurchase / “buy back” / “unwind” any vehicle transaction that Auction deems warranted. The decision of Auction shall be final in all repurchase/buy back disputes.

With respect to each and every vehicle offered for sale at Auction, Dealer represents that:

• Vehicles not originally manufactured for sale in the United States will not be sold, unless approved by Auction Management, declared, and announced;
• Dealer will fully and accurately disclose and be responsible for the description, known defects, and mileage representations of the vehicle;
• Dealer is the true and lawful owner of the vehicle;
• Dealer has good and right power to sell the vehicle;
• Without exception, title is free and clear of all encumbrances and other defects. Dealer will hold the Auction and any purchaser harmless from any loss, liability, or expense including, but not limited to, attorneys’ fees, relating to any defect in title;
• Dealer will deliver a valid title to the Auction, as its limited agent, within thirty (30) days from any sale;
• Auction shall be paid for its services whether a sale is consummated on the date of auction or within seven (7) days after the vehicle is removed from consignment.

With respect to each and every vehicle sold or purchased by Dealer, Dealer agrees that:

• The Auction does not inspect vehicles delivered to it for sale; rather, the seller is responsible for all representations of description, condition, and mileage and for disclosure statements relating to the vehicle;
• Dealer shall pay the Auction the purchase price and charges shown on the bill of sale for each vehicle by valid draft, check, or cash (as requested by the Auction);
• Payment for each vehicle shall occur no later than Auction’s delivery of the title for that vehicle;
• Dealer grants Auction a security interest in and to each vehicle offered for sale or purchased by Dealer to secure the payment of the related bill of sale and any amounts owed to Auction;
• If Dealer fails to pay for a vehicle upon tender of title, Auction may dispose of the vehicle through a subsequent sale. Dealer shall pay Auction for all costs of collection, loss on resale, and any other expense, damage, or loss Auction may sustain, including reasonable attorneys’ fees;
• Title and ownership of the vehicle shall remain with the seller until good funds and payment are received by the Auction.

Dealer shall honor payment of any check or draft. Dealer will not, under any circumstances, stop payment on a check or draft without the advance written approval of an authorized representative of Auction; then if approved, Dealer will return the vehicle at Dealer’s expense to the Auction. Dealer further agrees to hold the Auction harmless and provide indemnification to the Auction for any loss resulting from dishonor of a check or draft of Dealer.

Dealer authorizes Auction to investigate Dealer’s (and Dealer’s owners/principals) credit history with banks and other financial institutions with which Dealer does business. Dealer will execute any documents required by any such bank or financial institution to release financial information to the Auction.

The amount of the Auction’s liability under this Agreement and for any services rendered to Dealer shall never exceed the total of fees paid by Dealer to Auction for the six months preceding the event giving rise to any particular claim.

Any action brought for claims arising from or related to the parties’ relationship or this Agreement shall be commenced within one (1) year of the event or alleged breach giving rise to same.

Auction makes no guaranty against defects in the vehicle or its title; all representations about the condition or quality or validity of the vehicle or its title are those of the seller. In no circumstance shall a party be responsible for title issues that are first raised more than one (1) year from the date of the sale.

Dealer shall inspect every vehicle upon which Dealer bids and shall make all determinations as to whether the vehicle possesses the features desirable to Dealer.

Auction has permission to use Dealer/my phone number(s), including a cell phone number, to contact me to let me know about business and/or other marketing opportunities.

If Dealer does not want to receive telephone marketing calls, they must contact Auction at donotcall@dealersauto.com.

Auction has permission to photograph Dealer and post photographs to its website or social media outlets (Facebook, Twitter, Instagram, Snapchat, etc.) and may use my likeness in its marketing materials.

If Dealer does not want their name or likeness to be used by DAAG, they must contact DAAG at donotcall@dealersauto.com or call.

Auction has my express written consent to contact me via text and my cellular phone, for which data rates may apply, about business and/or other marketing opportunities.

For purposes of any agreement with Auction, the agreement is “signed” or “executed” if it includes a symbol or action that is adopted or performed by the signer with the present intent to authenticate, manifest acceptance of or assent to the agreement (an “E-Signature”) consistent with the Electronic Signatures in Global and National Commerce Act (ESIGN) of 2000. If an E-Signature is affixed through the use of an E-signature application, it shall be deemed to be an original signature as if handwritten below and no certification authority or other third-party verification is necessary to validate the E-Signature of any party or any agreement between the parties resulting from an E-Signature.

If any provision of these Policies and Procedures becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable, or void, the remainder shall continue in full force and effect without such provision; provided that no such severability shall be effective if it materially changes the economic benefit of these Policies. The parties agree that irreparable damage for which money damages would not be an adequate remedy occurs in the event that any provision were not performed in accordance with its specific terms or was otherwise breached. It is accordingly agreed that, in addition to any other remedies a party may have at law or equity, the parties shall be entitled to seek an injunction or injunctions to prevent such breach of these Policies and to enforce specifically the terms hereof.

Should either party institute any action to enforce or interpret the Policies, the prevailing party shall be entitled to receive from the non-prevailing party such amount as the court may judge to be reasonable attorneys’ and paralegals’ fees for the services rendered to the prevailing party in such action or proceeding, plus the prevailing party’s costs and expenses therein, regardless of whether such action or proceeding is prosecuted to judgment.

The parties waive any right it may have to trial by jury in respect of any litigation based on, arising out of, under or in connection with their relationship or any course of conduct, course of dealing, verbal or written statement or action of any party. ARBITRATION. Auction and Dealer shall adhere to all NAAA Arbitration Policies for disputes involving the condition of any motor vehicle purchased at auction. Further, in consideration of participation in the auction process and other good and valuable consideration, receipt and sufficiency acknowledged, Dealer and Auction agree that all matters in dispute between them shall be resolved by binding arbitration, individually, and not on behalf of a class, before a single arbitrator licensed to practice law in the jurisdiction of the location where the contested transaction occurred. Arbitration shall occur in the county of the auction transacting the business. THE PARTIES JOINTLY AGREE TO WAIVE THEIR RIGHTS TO HAVE A JURY RESOLVE DISPUTES BETWEEN THEM AND AGREE THAT ARBITRATION SHALL BE THE SOLE AND EXCLUSIVE METHOD BY WHICH ANY DISPUTES BETWEEN THEM ARE FINALLY RESOLVED. THE ARBITRATOR SHALL AWARD THE PREVAILING PARTY ATTORNEY’S FEES AND COSTS.

The Policies and any dispute between the parties shall be governed by and construed in accordance with the laws of the State of Tennessee, without regard to principles of conflicts of laws.