GENERAL CONDITIONS OF SALE

1.Interpretation

1.1In these General Conditions the following words and expressions shall have the meanings set opposite:

“Auction”any auction conducted pursuant to these General Conditions.

“Auctioneer”the person conducting the Auction or to whom the conduct of the Auction is delegated under clause 4.10 below.

“Bidder”any person who offers to purchase any Lot whether by bidding at Auction or offering to purchase by private treaty or tender.

“Bid”offer to purchase any Lot whether by bidding at Auction or offering to

purchase by private treaty or tender, and “Bids” and “Bidding” shall be construed accordingly.

“Buyer”any person who agrees to purchase any Lot whether at Auction or by private treaty or tender.

“Catalogue”the catalogue incorporating these General Conditions.

“The Company”Fox Lloyd Jones Ltd (company number 4794141)

whose registered office is at 30 Park Place, Leeds, LS1 2SP

“Location”the premises at which the Lots are located, details of which are set out in the Special Conditions.

“Lot” any Lot described in the Catalogue or the Company’s invoice.

“Seller”the person upon whose instructions the Company is conducting the sale, details of whom are set out in the Special Conditions.

“Special Conditions”the Special Conditions set out or referred to in the Catalogue, announced at Auction or otherwise specified by the Company.

2.Application of these General Conditions

2.1These General Conditions apply to every sale of plant and machinery, chattels and trade stocks conducted by the Company whether by Auction, private treaty or tender including all Lots described in the Catalogue or the Company’s invoice.

2.2Bidding for any Lot shall be deemed to be an acceptance by the Bidder of these General Conditions and the Special Conditions.

2.2To the extent that these General Conditions are inconsistent with any Special Conditions, the Special Conditions shall prevail.

2.4These General Conditions, shall be governed construed and enforced in accordance with the laws of England and Wales unless the Location is in:-

(1)Scotland in which case the laws of Scotland shall apply; or

(2)Northern Ireland in which case the laws of Northern Ireland shall apply.

3.Identity of the Parties

3.1The Company offers each Lot as agent of the Seller and not as principal unless otherwise indicated in the Catalogue.

3.2The identity of the Seller is set out in the Special Conditions.

3.3Unless the Company has previously acknowledged in writing that the Bidder Bids as agent on behalf of a named principal, every Bidder shall be taken to Bid on his own behalf as principal.

3.4Any Bidder acting as agent on behalf of a named principal shall remain liable to the Seller and the Company for all obligations and liabilities of his principal. The Bidder warrants that he has the authority of his principal to make each Bid made.

3.5Every Bidder is required to give his name and address and provide satisfactory proof of identity to the Company before making any Bid.

4.Conduct of Auctions

4.1Any Lot may be subject to a reserve price.

4.2The Seller or his representative or the Company on his behalf may Bid for any Lot.

4.3The Auctioneer may at any time before the fall of the hammer withdraw or divide any Lot or combine any Lots.

4.4The Company may sell any Lot by private sale before or after the Auction.

4.5The Auctioneer may reject any Bid at his sole discretion and without being required to give a reason.

4.6No Bid shall be retracted without the consent of the Auctioneer.

4.7The Buyer shall be the person who made the highest Bid before the fall of the hammer or such other Bidder as the Auctioneer may declare to be the Buyer without being required to give a reason.

4.8The Auctioneer may decide whether there is a dispute between Bidders, may summarily determine the dispute or immediately again offer the Lot for sale, in each case without being required to give a reason.

4.9The Auctioneer shall in every other respect decide how the Auction is to be conducted and without being required to give a reason.

4.10The Auctioneer may in his sole discretion delegate to a person whom he believes to be competent the conduct of the Auction in accordance with these General Conditions.

4.11The Buyer may not remove any Lot he has bought until after the end of the Auction.

5.Sale and Payment

5.1The Buyer shall pay the following sums to the Company in full and without set off:-

(1)immediately upon the sale of any Lot a deposit of 15% of the price, if requested by the Company;

(2)the balance of the price of the Lot purchased together with a Buyer’s Premium of 15% of the price and any VAT due by no later than the time and date specified in the Special Conditions;

(3)any other payment or amount due to the Seller and/or the Company pursuant to these General Conditions or the Special Conditions on demand.

5.2In every case time for payment shall be of the essence.

5.3In view of Money Laundering Regulations the Company reserves the right to refuse payment in cash. Payments in cash of more than £7,000 will not, in any circumstances, be accepted.

5.4If the Buyer fails to make any payment on the due date for payment then, without limiting any other right or remedy available to the Seller, the Buyer shall pay to the Company interest (both before and after any judgment) on the amount unpaid at the rate of 1.5% per month or any part thereof until payment in full is made.

5.5Until the Buyer has fully complied with its obligations in this clause 5:-

(1) title to any Lot bought shall not pass to the Buyer;

(2) the Seller shall have a lien over any Lot bought by the Buyer in the Auction;

(3)if the Buyer effects or purports to effect a resale or any other disposition of all or part of the Lot, the Buyer shall hold the proceeds of resale or other disposition on trust for the Seller.

5.6All prices are exclusive of any applicable value added tax for which the Buyer shall be additionally liable to pay to the Company. On written request by the Buyer the Company will provide a VAT invoice.

6.Removal of Lots

6.1Risk of damage to or loss of the Lot shall pass to the Buyer immediately upon the sale being agreed, which, in the case of an Auction, is upon the fall of the hammer.

6.2The Buyer may not remove any Lot until the Buyer has:-

(1)paid by cleared funds all amounts payable pursuant to clause 5 above in full; and

(2)if requested by the Company produced evidence satisfactory to the Company that the Buyer has adequate public liability insurance in respect of the indemnity set out in General Condition 6.6 and/or deposited with the Company, by way of security for the costs of making good any damage likely to occur, such sum as the Company may stipulate.

6.3 (1)The Buyer must remove each Lot purchased by the time and/or date specified in the Special Conditions for which time shall be of the essence. Lots may only be removed during normal working hours or such hours as are specified in the Special Conditions.

(2)Buyers should co-operate regarding order of removal in order to comply with the clearance date. If it transpires that a purchaser makes no effort to commence dismantling and the particular item of plant is preventing other buyers from removing equipment, then the Auctioneer reserves the right to insist that removal take place immediately notwithstanding the final clearance date.

If in the event the purchaser does not comply, then the Auctioneer reserves the right to arrange for the removal of the lot or lots and charge any attendant costs to the purchaser.

(3)If any lot or item is unsold and has to be dismantled & lowered to allow the removal of any other lot, then such dismantling & lowering shall be the responsibility of the purchaser of the relevant Lot(s) or Item(s).

6.4It is expressly brought to the Buyer’s attention that certain Lots could contain blue or white asbestos, dangerous chemicals etc which if not handled correctly during their removal could result in breach of Health & Safety at Work legislation and/or Control of Substances Hazardous to Health Regulations or other statutory requirements.

6.5When removing any Lot the Buyer:-

(1) shall be responsible for detaching any Lot fixed to land or buildings and must do so safely and lawfully and must not use flame cutters, explosives or any other dangerous equipment or process without previous written permission signed by or on behalf of the Company;

(2)Compliance with Laws, Regulations and Planning Purchasers or their Removal Contractors are responsible for applying for relevant planning permissions (if appropriate) with reference to the removal of building structures and plant housings.

Purchasers or their Contractors shall at all times comply with all orders, regulations, requirements and rules of any authority whether Parliamentary, statutory, parochial or local and in particular shall comply with all requirements applicable to the employment by them of labour or otherwise affecting the work. The Purchasers or their Contractors shall in addition and without prejudice to the generality of the foregoing conform to the regulations and bye-laws of local authorities and shall pay all fees and charges arising under the said regulations and bye-laws in respect of the Work.

It is the purchaser’s or their removal contractors responsibility (i.e. Police, Ministry of Transport, Local Authority) to transport off site long/wide loads, within sufficient time prior to the commencement of clearance period as stated in the Special Notes & Conditions.

(3) must use safe and lawful means of removing the Lot, must comply with all current statutory requirements and regulations including those relating to the disposal of waste and, if required, satisfy the Company in relation to their removal procedures; in particular, the removal of waste materials must be undertaken by an approved and licensed contractor;

(4) is responsible for ensuring that any motor vehicle may be safely and lawfully driven onto a public highway;

6.6 The Buyer shall indemnify the Company and the Seller against any loss damages, expenses, claims or liabilities arising directly or indirectly from the detaching of any Lot fixed to land or buildings and/or its removal including (without prejudice to the generality of the foregoing) any damage caused to other Lots, the Location or to any third party.

7.Default by the Buyer

7.1If at any time the Buyer has failed to pay the sums specified in clause 5 above in full by the due date for payment, or to remove any Lot purchased by the time or date specified in the Special Conditions the Seller may rescind the sale of that Lot, in which case any deposit shall be forfeit, and that Lot may be resold.

7.2If the Seller has rescinded the sale but the Buyer has removed the Lot purchased, the Seller shall be entitled without previous notice to enter upon any premises where he believes the Lot to be and remove it.

7.3If the Seller has rescinded the sale and the Lot has been resold, the Buyer shall make good any deficiency, namely:-

(1) the sale price less the resale price;

(2) the costs of and incidental to resale.

7.4If the Buyer fails to remove any Lot by the time specified:-

(1)the Seller may remove the Lot from the Location and leave them outside at the Buyer’s risk in all respects;

(2)the Seller may charge the Buyer for the reasonable costs of storage;

(3)the Buyer shall indemnify the Seller against any loss, damages, expenses, claims or liabilities incurred by the Seller arising from the Buyer’s failure to remove the Lot from the Location.

8.Acknowledgements and Exclusion of Warranties

8.1The Buyer acknowledges that in agreeing to purchase any Lot he is not relying on any warranties or representations made by the Seller or the Company or any of their employees agents or representatives. All representations, warranties and conditions, express or implied, statutory or otherwise in respect of all and any of the Lots are expressly excluded (without limitation any warranties and conditions as to title quiet possession, satisfactory quality fitness for purpose and description).

8.2The Buyer further acknowledges that neither the Sellers nor the Company shall in any circumstances be liable to or to compensate the Buyer nor shall the Buyer be entitled to rescind the sale or reject any Lot for an error omission or misstatement contained in the Catalogue.

8.3The Buyer also acknowledge that:-

(1)all the Lots are purchased on the basis that risk of good title to all or any of them passing to the Buyer is at the Buyer’s so risk and without limitation the Lots are sold subject to any claims, liens, distraint and execution and subject to all leasing, hire or hire purchase agreements and reservation of title claims (if any) in respect of them;

(2)if it shall be found that the Seller does not have title to all or any of the Lots the Buyer shall have no right to rescind, avoid or vary this agreement or to claim damages or a reduction in the price paid or payable; and

(3)anything found in under near or in any Lot which is not specifically included in the description of the Lot remains the property of the Seller.

8.4The Buyer undertakes that it shall ensure that any vehicle comprised in any Lot is in a roadworthy condition in accordance with the Road Vehicle (Construction and Use) Regulations 1986 before using it on a public road and the Buyer acknowledges that any item of plant, machinery or equipment contained in the Lot(s) may not necessarily comply with any statutory requirements or regulations governing the use of that plant, machinery or equipment in their working environment. Neither the Seller nor the Company shall incur any liability to the Buyer because of any default or defect in all or any of the Lots. Buyers are entirely responsible for ensuring that the use of any item of plant, machinery or equipment does not contravene any statutory requirements or regulations.

8.5The Buyer acknowledges and agrees that the Company is acting only as agent of the Seller and it is expressly agreed and declared that no personal liability in connection with the sale of any Lot or otherwise shall fall on the Company and the Buyer shall indemnify the Company against all and any liabilities arising under or in connection with the sale of any Lot.

8.6The Buyer agrees that the General Conditions and the exclusions which they contain are fair and reasonable bearing in mind that:-

(1)the Buyer must rely absolutely on the Buyer’s own opinion and/or professional advice concerning the quality state, condition, performance and functionality of the Lots any right, title or interest which is sold under the terms of these General Conditions, their fitness and suitability for any particular or any purpose, the possibility that some or all of them may have defects not apparent on inspection and examination including, without limitation, the presence of contamination and the possibility that the Buyer may not acquire title and the fact that the Buyer would have no remedy under this Agreement should that happen;

(2)the Buyer has available to it skilled professional advice and on that basis agrees to purchase a Lot for a consideration calculated to take into account amongst other things the risk to it represented by the fact that the parties believe that all the exclusions and limitations set out in these General Conditions would be recognised as being fully effective by the Courts and the Seller making it clear that it would not have agreed to sell any Lot on any other basis except for a higher consideration;

(3)the Buyer has been given every opportunity which might reasonably be expected to examine and inspect the Lots.

SPECIAL CONDITIONS OF SALE

Seller:

Barrett Steel Limited

Location:

Newton Steel Stock Limited, Gibbs Marsh Trading Estate, Landshire Lane, Henstridge, Somerset, BA8 0TN

Timed Online Auction Sale:

Viewing Day: Tuesday 18th September 2012 between 9:30am and 4:00pm

Or Prior on an appointment basis by contacting the Agents

Online Bidding Opens: Tuesday 18th September 2012 at 9:00am

Online Bidding Closes:Wednesday 19th September 2012 at 12:00pm

(Subject to 10 minute rule)

Viewing:

Tuesday 18th September 2012

Access to the Location is allowed on the understanding that viewers attend the Location entirely at their own risk and are responsible for and will indemnify the Seller and the Company against any losses damage or claims occasioned by their presence at the Location.

Children under the age of 16 will not be allowed access to the Location.

Sale:Timed Online Sale - This auction has auto bid extension enabled. If a bid is placed within 10 minutes of scheduled auction end the auction end time will automatically extend by an additional 10 minutes. This continues with the new scheduled end time until no one places a bid before auction bidding deadline. Every time a bid is placed with 10 minutes or less left in the auction an additional 10 minutes bidding time is added until there are no more bids.

Registrations:

All bidders must register their name and address with the Company.

All bidders must register their details on www.bidspotter.co.uk

We do not take credit or debit cards for payment of invoices.

It is preferable to register at least 24 hours before the sale is due to finish.

Please note that bidder approval is reliant on bidders entering credit card details which is for validity reasons only. WE DO NOT TAKE ANY FORM OF PAYMENT BY CREDIT CARD.

Once approved, bidders will be added to our mailing list allowing them to receive notifications of future sales by email. If a bidder wishes to stop receiving such notifications bidders can unsubscribe by clicking on the link provided at the bottom of each sale email.

It is preferable to register at least 24 hours prior to the sale is due to finish. Please make a note of your username and password when registering, you will need this information to make a bid following approval.

Online Bidding:

Due to the Data Protection Act all software and data will be removed from computers prior to selling, including the operating system.

The internet is not foolproof and a number of factors such as speed of modem, traffic, telephone line and human error may affect how the sale is viewed.

Please be aware that due to number of people actively bidding immediately prior to the close of sale; occasional delays may be encountered for the Bidspotter system to process bids. Please be aware that to avoid this situation; bidders can place ceiling bids on lots well in advance of the closure of the sale thus preventing any delay. The lots are available for bidding on for a long period before the date and time of a sale.

Bidders can use more than one computer to place bids if they feel that this would be of help to them, i.e. they have numerous lots they wish to bid on. Please use the same user name & password on each computer for this multiple bidding facility.

Fox Lloyd Jones Ltd will not be held liable in the event of any dispute due to errors, internet service, omissions, disruptions or power failures which may occur when bidding online.

Lot descriptions will be amended as appropriate and when information becomes available. It is highly recommended that prospective purchasers read the lot descriptions before every bid so that they are fully aware of any amendments or conditions of sale relating to that particular lot.

We refer you to our General Terms and Conditions which apply to all sales and stress that you read and understand Bidspotter’s terms and conditions of registration.

Maximum Bids:

If more than one bid is placed of the same amount, the maximum bid placed first will be considered the highest and a further bid will need to be placed.

Overseas Buyers:When registering overseas buyers must also provide:-

•Passport details;

•other confirmation of their identity and address, eg drivers licence, or utility bill;

•full bank details.

VAT:VAT will be charged at the current rate of 20% and will be added to all auction bids.

Buyers Premium:The buyer will pay to the auctioneer a premium of 15% on the “hammer price” to which will be added Value Added Tax at the current rate. The premium is not negotiable and is payable by all buyers. The auctioneer, when acting as agent for the seller, may also receive commission from the seller.

Payment: All monies must be paid in accordance with the terms and conditions.

Lots may only be collected upon receipt of cleared funds:

Telegraphic Transfer - Bank details for telegraphic transfer:

Account: Fox Lloyd Jones Limited Clients Account

Bank: Barclays Bank Plc, Albion Street, Leeds

Sort Code: 20-48-42

Account Number: 80875198

Cash - In view of Money Laundering Regulations the Company reserves the right to refuse payment in cash. Payments in cash of more than £7000 will not, in any circumstances, be accepted.

Bankers Draft : made payable to Fox Lloyd Jones Limited

Cheques: cheques will only be accepted on the basis that seven working days are required for cleared funds before any Lots are removed. Cheques over the limit of a cheque guarantee card will only be accepted for immediate clearance of Lots if they are supported by a banker’s reference.

Banker’s references: Banker’s references are only acceptable if they are original top copies correctly dated and addressed to Fox Lloyd Jones Limited referring specifically to the sale in question and the Buyer and are in the form specified or previously approved by the Company.

We do not accept credit or debit cards for payment of invoices

Special Notes and Requirements:

- All payments are to be sent by CHAPS transfer by no later than

Friday 21st September 2012.

-Removal will be on appointment basis only and removal must be completed no later than Tuesday 30th October 2012 at 3pm.

-Full method statements and risk assessments will be required to be undertaken and approved by Fox Lloyd Jones and the seller prior to removal.

-No bids will be accepted where the seller is not satisfied that the assets lotted will not be used in the UK.

-The buyer must agree and sign the Deed of Covenant that the lot/lots will not be sold or used in the United Kingdom attached to these conditions before the sale can be completed.

-The buyer accepts that the special condition and general conditions of sale shall be fully enforceable against the buyer by the seller pursuant to the Contracts (Rights of Third Parties) Act 1999.

EXAMPLE OF ACCEPTABLE BANK REFERENCE:

BANK LETTERHEAD

CUSTOMERS ADDRESS

Dear Sir/Madam

REF: (INSERT NAME OF TENDER SALE)

This letter is to confirm that our above customer can issue a cheque up to the amount of £ (insert amount), and that it will be honoured by the bank.

Yours faithfully

(print name _____________________)

Deposits:The Company reserves the right to request a deposit to be paid.

Clearance: All lots must be cleared without fail no later than Friday 30th October 2012 by 3pm.

Clearance of all lots must be undertaken in accordance with current Health & Safety at Work Regulations and Construction Design & Management Regulations. The Buyer may have to provide a “method statement” and/or “risk assessment” approved by the Company and seller prior to the removal of any lots. The Company and seller reserve the right to halt clearance if it is being carried out in an unsafe manner or without an approved “method statement” and/or “risk assessment”.

Electrical disconnections from the mains supply are the responsibility of the Buyer and MUST be carried out by an approved electrician.

Any fluids and/or waste remaining in plant and machinery are the responsibility of the Buyer and MUST be removed from the Location strictly in accordance with Control of Substances Hazardous to Health Regulations.

The Auctioneer:

The Auctioneer does not undertake packing, postage, delivery or shipping of goods.

Risk:

The Bidder is on risk once the offers are accepted and is strongly advised to effect insurance at once.

Transfer of Lots:The Company will only accept payment from and permit removal of Lots purchased by the Buyer or its agents.

Value Added Tax:Purchasers will be charged Value Added Tax at the current rates on the amount of their purchases.

Furniture and

Furnishings:All Lots are sold on the understanding that the Seller does not represent them as being in a condition which makes them suitable for domestic use. The Buyer is reminded that if any Lots are intended for domestic use the Buyer must ensure that they comply with the requirements of the Furniture & Furnishings (Fire Safety) Regulations.

Conditions of Sale:The attention of Buyers is drawn to the General Conditions of Sale included in the Online Auction Specification.

At the end of the online sale final bid figures will be submitted to our clients for approval. Any lots may be subject to a reserve price.

All lots shall be paid immediately on receipt of invoices and shall be at the purchasers risk from the date of invoice. Clearance to be arranged on an appointment basis through the Agents Fox Lloyd Jones and seller.

The whole of the lots must be cleared and taken away, without fail, at the purchasers’ expense in such order as the Agents or their representatives shall direct not later than the time stated in the Notice to Purchasers after which time any lot or lots remaining on the premises will be liable for rent, taxes, men’s wages, and expenses and will also be liable to be removed from the premises and left outside at the purchaser’s risk in all respects.

If any purchaser shall make default in payment of his purchase money or neglect to comply with these conditions or any of them, all money paid by him or his agents at the time of sale shall be forfeited to the seller who shall be at liberty to re-sell the lot or lots at such time or times as they may think proper and without notice to the party or parties making default either by public sale or private contract and the deficiency (if any) occasioned by such re-sale together with all expenses attending the same shall immediately be paid by the purchaser or purchasers making default or neglecting to comply with these conditions and in case of non-payment hereof the same shall be recoverable as and for liquidated damages.

In the event that the auctioneer unknowingly sells an item or items that were not eligible for sale (i.e. there is a third party interest that comes to light) then the auctioneer shall be entitled to rescind that sale.

Please see the Specific and General terms of sale for clarification on any issues

Software:

Title to computer Software is not transferred and use is subject to any licence or copyright restrictions and user conditions. The Seller/Agents/Auctioneers reserve the right to erase any private or sensitive information prior to delivery or at any later date.

Data Protection Act:

The Purchaser undertakes to comply with the provisos of the Data Protection Act 1998 in processing data held by them in connection with these assets.

Pipework:

Disconnect as marked or as directed.

Electric Cable:

Electric cable and pallets are not included with the sale of any lots unless otherwise indicated. All electric motors and machinery must be disconnected from the machine side of the isolator switch which must be left with the buildings.

Racks & Benches:

All racks and benches are subject to reserve removal until the contents have been cleared.

Fire Alarm:

In case of a fire alarm all visitors and contractors are to exit buildings and report to the Muster Point.

Smoking:

No smoking on site. Food and Drink is only to be consumed in designated areas.

Safety:

All visitors and contractors are reminded that they are responsible for their own safety on site and enter at their own risk and should take the precaution of wearing protective clothing as appropriate.

HSE:

Health & Safety Legislation and Construction, Design and Management Regulations 1994.

Purchasers should be aware of the above and comply as appropriate. It is also important that all purchasers/contractors comply with site rules, site procedures and Health & Safety Regulations.

Unless specifically excluded purchasers of lots will be required to make good holes or voids exposed by the removal of lots. Cladding taken off buildings for removal of plant & equipment will have to be replaced, unless otherwise specified by the Auctioneer.

Removal of Assets:In removing the Assets the Buyer shall:

Provide a risk assessment and method statement in relation to the removal of each lot, to be sent to Fox Lloyd Jones and the Seller, for the approval of the Seller (such approval not to be unreasonably withheld or delayed) prior to taking any action to remove that lot;

Engage only suitably qualified and insured personnel to remove the lots;

Comply with all legislation and regulations (including without limit relating to health and safety) and all reasonable directions of the Seller and its agents;

Leave the location in no worse condition than it is in prior to the entry of the Buyer or its agents on to the location, which shall include but not be limited to:

Leaving the floor in a reasonable state and condition by grinding off bolts at floor level or, where reasonably necessary, undertaking reasonable breakage of concrete. Where it becomes apparent that more than a reasonable level of concrete is required to be broken up, the Buyer shall seek further reasonable direction from the Fox Lloyd Jones Seller before continuing with the removal;

Filling in any pits in which any lots have been sited with clean hardcore up to floor level;

Making good any spillage of diesel, oil or other contaminants by the Buyer or its agents;

Making good (to the reasonable satisfaction of the Seller) any physical damage to the buildings at the location caused by the Buyer or its agents;

Removing electrical wiring from any lots down to an appropriate switch point; and

Leaving the location safe, free from debris and swept clean.

NOTICE TO PURCHASERS

Purchase of Goods using a Finance Company:

If Buyers wish to purchase goods with the help of a finance company they should make arrangements well in advance of the Sale to ensure that they are able to make payment in accordance with the conditions of sale.

Overseas Buyers:Overseas Buyers should ensure that the country to which the items are destined:-

•holds no import restrictions on the goods to be purchased;

•has no import license restrictions or a restriction on currency allocation;

•has no prolonged inspection procedure which might cause excess delay in allowing your goods to be imported.

Overseas Buyers will receive a fully descriptive invoice in order that they may arrange payment as soon as possible with the Sellers bank, Barclays Bank plc, Albion Street, Leeds LS1.

Overseas Buyers should employ a suitable freight forwarding organisation. Please note that many of the machinery removal companies in this country are not necessarily freight forwarders. The Seller will be pleased to advise accordingly.

Overseas Buyers should read the conditions of Sale.

Please Note:-

(a)The Seller cannot allow removal of any Lot from the Auction Sale until their Accounts Department has received notification from their banker that the Buyer’s payment has been properly cleared in full. Monies must be transferred to the Seller within the time state in the “Conditions of Sale” on the following page.

(b)If there are any special arrangements that the Buyer wishes to make with the Seller, the Buyer must contact the Seller at least three days before the Sale date.

VAT Payments and Returns:All overseas Buyers (EU and non EU) will be charged VAT at the current rate on each Lot purchased. This will be refunded to the overseas Buyer as soon as the Seller receives a copy of the bill of lading as proof of export, providing this documentation is received within 3 months of the sale date. The Seller is unable to refund the VAT on the Buyer’s Premium to non EU countries.

THIS DEED OF COVENANT is dated …………………………………….

PARTIES

"Barrett Steel":BARRETT STEEL LIMITED, a company incorporated in England and Wales with registered number 02755663 and having its registered office at Barrett House, Cutler Heights Lane, Dudley Hill, Bradford, BD4 9HU)

"Buyer":…………………………………………………………………………...

BACKGROUND

(A)By an agreement dated …………………. the Buyer has agreed to buy the following assets (the "Assets"):

…………………………………………………………………………...

(B)It is a requirement that the Buyer and any subsequent purchaser of the Assets shall enter into this deed of covenant in favour of Barrett Steel.

AGREED TERMS

1COVENANT

1.1The Buyer hereby unconditionally and irrevocably covenants and undertakes to Barrett Steel:

1.1.1not to use any of the Assets within the United Kingdom;

1.1.2not to sell, transfer, lease or otherwise dispose of any of (or any interest in any of) the Assets to any person where it is reasonably apparent that such person operates in the United Kingdom or intends to use any of the Assets within the United Kingdom;

1.1.3to procure that any person to whom any of (or any interest in any of) the Assets are sold, transferred, leased or otherwise disposed of enters into and delivers to Barrett Steel a deed of covenant on substantially the same terms as this deed immediately upon (and as a condition to) the completion of such sale, transfer, lease or disposal.

1.2This deed is governed by and construed in accordance with the law of England and Wales.

The Buyer has executed and delivered this document as a deed on the date hereof.

EXECUTED as a DEED by

…………............................................ acting by a director in the presence of:

Witness Signature…….………………….

Name of Witness………………………...

Address of Witness………………….…...

Occupation of Witness……………….......…………………………………….