Internet Auction on AssetLine website will be conducted by T.H.I. By bidding on-line, participants agree to be bound by the following Terms and Conditions stipulated by T.H.I.

TPA Terms and Conditions TTA Terms and Conditions

AssetLine Internet Auction Terms & Conditions

(The AssetLine Internet Auction is run by T.H.I. By bidding on-line, participants agree to be bound by the following Terms and Conditions stipulated by T.H.I.)

1. Registration and Participation Requirements

1.1 1.1 To bid in the AssetLine Internet Auction, users must complete the registration form that is posted on the web site. Applications will be received and processed by T.H.I. once applications have been approved applicants will become members and thereby able to participate in the AssetLine auctions.

THI reserves the right to revoke memberships at any time without prior notice. In particular THI will revoke membership for the following reasons:

a. The contents of application are fraudulent.

b. The existence of the applicant cannot be confirmed.

c. The applicant is considered ineligible to THI auction or credibility cannot be determined.

d. The applicantfs business activity is considered being in competition with THI or cannot be admitted into THI auctions for other reasons.

e. Participants who are found to be members or affiliated with any criminal or antisocial groups.

f. The applicant is considered as unqualified for participating in THI auctions.

Concerning Applicants or Bidders who are Japanese domestic companies without the Used Goods Trading Permit@(Տ), auction participation may be refused or any purchase contract may be invalidated in case these Applicants or Bidders are involved in business activities falling under the Japanese law on trading of used itemsiÕcƖ@j.

2. Sales Terms

2.1 Auction Method: There are 2 Auction Types available at AssetLine Internet Auction

2.1.1 Standard Auction (characterized by its increasing price mechanism) where bids for offered equipment must be made above the stated Opening Bid Price or the next incremental amount in Japanese Yen within the stipulated deadline (Auction Close) using the AssetLine Auction system. The equipment will be sold to the highest bidder for each item at Auction Close.

2.1.2 Price Down Auction (characterized by its decreasing price mechanism) where the equipment is sold to the first bidder at the auctioneerfs current bid price at any given moment. The equipment will be sold to the first bidder for each item and the Auction will be declared closed.
Where units remain unsold at the auction close it is possible that through negotiation with the consignor the unit may be offered as a post auction sale at a price higher than the auction start price.

2.1.3 Reserved Auction In case of the Reserved Auction the minimum acceptable price, the so called gReserve Priceh is determined but the bidding starts below this level at the gStart Priceh. In case the bids do not reach the Reserve Price the unit will remain unsold. Furthermore, the Reserve Price may be decreased during the auction. In such a case , when the Reserve Price is lowered to the same level as the bided price ( ie: the Reserve Price and the current bid price become identical) then the gSelling g lamp switches on and the bidder will assume the obligations of the buyer in accordance with Terms and Conditions of AssetLine Internet Auction. Should the consignor agree ,unsold units in the Reserved Auction may be sold under the post auction sale for a price higher than the Start Price .

2.2 In addition to bidding directly through the AssetLine homepage bids can also be placed by fax. The deadline for accepting fax bids is one hour earlier than the closing time of the weekly internet auction. (Concerning the faxbid deadline for T.H.I. Premier Auction please refer to the TPA Terms and conditions). Only faxbids are considered valid that bear the T.H.I. gReceivedh stamp indicating acceptance.

2.3 Currency: All items will be priced and sold in Japanese Yen. US$ and other currencies may be displayed in some places but all invoices and payments are to be made in Japanese yen and other currencies are a reference guide only.

2.4 Auction Price: All equipment is sold Ex- T.H.I. Yokohama / Nagoya Yard or Ex-port Yard basis indicated by gLocationh on the Auction page. For domestic buyers, 8% Consumption Tax will be added to auction sale prices. For overseas buyers who request THI to export equipment on their behalf, no tax is required. The following costs are not included and will be invoiced separately. Carry out/Transportation cost from T.H.I. Yokohama / Nagoya Yard or the designated port yard, FOB charge, Customs clearance charge, Special cleaning charge etc and any additional costs after Ex-T.H.I. Yokohama Yard or Ex-port Yard.

2.5 Basic cleaning (normal cleaning for the Asian market) will be performed prior to the auction on all items. Buyers requiring additional cleaning (For example NZ or American Standard) and decontamination treatment of equipment to satisfy any import requirements, and specific cleaning as required by the shipping line such as cabin cleaning will be charged for accordingly. Details and charges are available on request.

2.6 Cancellation is not accepted after the machine is sold Bidders acknowledge and agree that once a bid(s) has been placed, they cannot and will not be retracted and winning bidders are legally bound to complete their purchases in accordance with Terms and Conditions of AssetLine Internet Auction.

2.7 In case T.H.I judged the machine condition has changed after auction start or with any other reasons T.H.I. has a right to cancel the listed machine. In addition T.H.I. may edit the inspection report even after published online. All the customers have to check the inspection report right before bidding to make sure all the information is updated.

3. Payment & Delivery Terms

3.1 All equipment is priced, sold and must be settled in Japanese Yen. Payment must be received by T.H.I. or the Auction consignors within four working days from the end of the auction. Payment must be made by telegraphic transfer (T/T) only and Letter of Credit payment shall not be allowed.

3.2 T.H.I. Bank details :

Account Name : T.H.I. Corp.
Account Number: 3787666
Bank Name : THE BANK OF TOKYO-MITSUBISHI UFJ LTD. HAMAMATSUCHO BRANCH
Bank Address : 2-12-11,SHINBASHI, MINATO-KU, TOKYO, JAPAN
Swift Code : BOTKJPJT

3.3 Once payment for equipment has been made by the winning buyer, all risk, right and title will be transferred to the respective Buyer.

3.4 The location of units is displayed on the web site. Units that are labeled as being in the gTHI Yokohama / Nagoya Yardh are located in the T.H.I. yard in Yokohama and Nagoya. Inland transport costs to the port are the responsibility of the buyer and are listed on the web site. Inland transport costs to other yards and from other THI yards are also the responsibility of the buyer and quotations should be requested from the THI logistics group. Other charges pertaining to shipping such as FOB charges will also be invoiced separately to buyers and quotes are available on request.

3.5 Equipment Collection: All successful bidders shall be responsible for removing the equipment according to provisions below, subject to confirmation of payment in full by THI.

I. For domestic buyers who collect the equipment, the equipment will be released after 3 working days from each auction close. Buyers should collect the equipment within two weeks (the Collection period) and shall inform T.H.I. 2days in advance of the collection date. If the Buyer fails to remove the equipment from the port yard after the Collection period, storage fees will be charged to the Buyer, at JPY 500/unit per day.

II. For overseas buyers requesting T.H.I. or the consigner to be the shipper for exporting the sold equipment, storage fees (JPY 500/unit per day) will be charged if the equipment is not removed after 30 days of each auction close

III. Machines that are not yet delivered to the indicated Place of Delivery by the end of the auction will be delivered there at least after 5 working days from the end of the auction.

4. Bidder Agrees

4.1 Bids are to increase by a pre-determined increment over a fixed period of time. Bidders acknowledge and agree that once a bid(s) has been placed, it cannot and will not be retracted and winning bidders are legally bound to complete their purchases in accordance with AssetLine Internet Auction's Terms and Conditions. Bids cannot be entered after the auction close and Sellers of Units understand that where units remain unsold THI may offer them to prospective buyers as Post Auction sales at a price higher than the auction start price.

4.2 T.H.I. is entitled to and will take appropriate measures to authenticate all bids placed. If for any reason bids are proved to be bogus or prohibited by applicable law or have not been made in good faith, T.H.I. reserves the right to reject or void bids, whether winning or not, and such bidders will be liable in damages for any and all costs which may result from such action. THI may contact buyers in order to confirm authenticity. In cases where buyers cannot be contacted by the telephone, fax or mail details held on record by THI for a maximum period of 2 hours bids may be deemed void subject to a decision from the management. Furthermore, Bids considered as fake bids or bids from buyers not willing to agree with the AssetLine Terms and Conditions will also deemed invalid.

4.3 The highest bidder ("buyer") at the end of the Auction is the bidder who has the highest bid which is above the auction start price and has not been Outbidded by a third party. Bidders agree and acknowledge that bidding on AssetLine Internet Auction binds them to purchase auctioned assets should their bids succeed and that the terms and conditions under which assets are sold represent a legally binding and enforceable agreement for sale and purchase.

4.4 If the winning bidder does not complete their purchase and make payments in accordance with the payment terms applicable to all sales on AssetLine Internet Auction or if he or she violates the law then the winning bidder will be in default and liable to formal legal proceedings to recover all costs damages and expenses together with the full contract price which the winning bidder is obliged to pay to the seller. Enforcement under the terms of sale against bidders who violate the auction regulations or violate the law may include bankruptcy or liquidation proceedings being taken against the buyer. Bidders who violate the auction regulations and do not fulfill their contractual obligation or who commit any acts against the law are obliged to pay the following penalty fees by the stipulated deadline: JPY 100,000/unit for sold unit price below JPY1,000,000, JPY300,000/unit for sold unit price below JPY2,000,000, JPY500,000 for sold unit priced over JPY2,000,000 to T.H.I. In addition, THI will also communicate the fact of violation of the law by the bidder and description of the bidderfs deed as a warning to other leading auctioneers and associates. Furthermore, in case the above violations are deemed intentional, the bidderfs information may be published on THI and AssetLine homepage.

4.5 If for any reason such winning bidder fails to complete the sale, T.H.I. shall be entitled to sell to the second highest bidder without obligation to the defaulting winning bid. Any second highest bidder will then be declared the new winning bidder and will be notified by T.H.I. The new winning bidder will have to accept or decline the sale immediately but if accepted, the sale must be completed at the new winning bidder's highest bid price, which must be or exceed the opening bid. After the second bidder accepts the offer he assumes the obligations of the buyer stipulated under AssetLine Auction Terms and Conditions.

5. Registration Documents and Change of Title:

Applies to units that are not exported by THI after purchase.

5.1 In case the buyer purchased a vehicle with Japanese Motor Vehicle Registration (Ԍ) including vehicles with number plates ,the procedure has to be completed for obtaining the Transfer Registration (ړ]o^) and the Certificate of Cancellation of Motor Vehicle Registration (o^)@and the copy of these two documents have to be submitted to THI within 1 month from receiving the Original Registration documents from THI.

5.2 In case the above documents certifying the registration of change in the vehiclefs status do not reach THI within the stipulated period of time a penalty fee of JPY 5,000 per week needs to be paid by the buyer.

5.3 In case document change becomes necessary due to the buyerfs negligence or other responsibility (Including correction stamp - ) a penalty of JPY 15,000 per document will apply.

5.4 In case THI arranges the Deregistration on behalf of the buyer a fee of JPY 10,000 will be charged to the buyer.

6. Payment of Vehicle Tax and Recycle Fee.

6.1 In case the Japanese vehicle tax applies on the purchased unit (including units with number plate), the buyer needs to pay the tax amount based on the tax amount paid by the consignor already. The payable tax amount will cover the not yet elapsed time period starting from the second month after the end of the auction till the end of the financial year. Buyer should contact THI immediately if they need assistance by THI to complete the de-registration.

6.2 In case the buyer purchases a vehicle with paid in Recycle Fee the paid in recycle fee will be invoiced to the buyer.

7. AssetLine Guarantee

7.1 The AssetLine Guarantee is applied to all machines unless indicated that the assessment is outside the scope of the AssetLine guarantee. Buyers must check actual condition against assessment report within 24 HOURS of receipt of units. Initially any discrepancies must be reported to T.H.I. Repair charges or the Machine charge can be reimbursed in case the reported discrepancy has occurred due to THI`s proven mishandling (excluding all externally or non evident defects at the time of Inspection or defects that occur due to the lapse of time or defects not covered by the AssetLine Inspection process or any defect inferable from the condition mentioned or shown on the Assessment Sheet or accompanying photographs.

7.2 If the buyer repairs or reconditions the machine by him/herself without the agreement of THI, or the buyer cannot provide evidence such as a photograph, or the buyer fails to report the discrepancy to THI within 24 hours from receiving the machine, the AssetLine Assessment Guarantee will be void. This AssetLine Guarantee does not guarantee the machines condition itself, but only the accuracy of the assessment report.

8. Bid Submission

8.1 Standard Internet Bidding and FaxBid are both accepted modes of Bid Submission.

8.2 All registered AssetLine members can submit their bids over the Internet before auction closes at 1700 hours Japan Standard time on each closing day. The current Bid Extension system applies as per regular on-line auction.

8.3 For Fax Bids, these must be received one hour in advance, that is 16:00 hour Japan Standard Time on each auction closing day.

9. Auction Close and Announcement of Results

Successful winning bidders will be notified by e-mail.

10. Export Control

It is the responsibility of the winning bidder (Buyer) to take all necessary actions to comply with the import/export control laws and regulations of Japan and the destination countries and areas so that the purchased equipment shall not be used for the development and/or transportation of the mass destruction weapons etc.

11. Governing Law & Jurisdiction

T.H.I and all bidders and buyers shall make efforts to settle any controversies and disputes in good faith. The terms and conditions of this auction shall be governed by and construed in accordance with the laws of Japan unless otherwise expressly provided. All controversies and disputes, arising out of or relating to the terms and conditions of this auction shall be submitted to the Tokyo District Court or Yokohama District Court of Japan as the first court of instance.

The AssetLine Auction is run in accordance with the Terms and Conditions set out in Japanese on this website. This English version is for guidance only and where a discrepancy arises the Japanese version will be deemed to be correct.

May 2011
T.H.I. Corp.