Chapter I General Provisions
Article 1 Governing Law
This Conditions of Business (hereinafter referred to as the “Conditions? are made in accordance with the Auction Law of People's Republic of China, other relevant laws that implemented in People Republic of China, regulations of People's Republic of China and the Articles of Association of the Company with reference to international general practices.

Article 2 Definitions and Interpretation
The terms used in these conditions shall have the following meanings:
(1) “We/Us/Our/Company?means China Guardian Auctions Co., Ltd..
(2) “The Company's domicile?means 2-603 Henderson Center, 18 Jianguomennei St., Dongcheng District Beijing, People's Republic of China.
(3) “The Bidder?means a natural person, legal person or any other organization that has full capacity of civil rights to bid at auction according to provisions of laws of People's Republic of China and has gone through necessary formalities. In case there is any provision with respect to conditions of sale or qualification of Bidder, the Bidder shall satisfy these requirements. In this Conditions, the Bidder shall include any of its agents unless otherwise provided thereunder or in a particular context.
(4) “The Buyer?means the person with the highest bid accepted by the auctioneer.
(5) “The Seller?means a natural person, legal person or any other organization who consigns Lot to us for auction in accordance with this Conditions. In this Conditions, the Seller shall include any of its agents unless otherwise provided thereunder or in a particular context. However, under no circumstances shall China Guardian Auctions Co., Ltd be considered as the Seller.
(6) “Lot?means any item(s) deposited with us for sale at auction and, in particular, the item or items described against any lot number in any catalogue.
(7) “Auction Date?means the published date on which the auction will formally begin. In the case of any discrepancy between the actual date of auction and the published date, the actual date of auction shall prevail.
(8) “Sale Date?means the date on which the auctioneer confirms the sale of any lot in the auction by striking his hammer or in any other public manners.
(9) “Hammer Price?means the amount of the highest bid accepted by the auctioneer in relation to a Lot.
(10) “Proceeds of Sale?means the net amount owed to the Seller of Hammer Prices less commission pro rata, all expenses and other amount owed to us by the Seller.
(11) “Purchase Price?means the total amount payable by Buyer for its bid, including Hammer Price, commission and other expenses payable by Buyer as well as the charges caused by Buyer's defaults.
(12) “Expenses?means charges and expenses including but not limited to expenses with respect to Lot insurance, catalogue and other advertisement, package, transportation and storage and any other expenses pursuant to relevant laws, regulations and provisions hereof.
(13) “Reserve?means the price below, which we agree with the Seller in writing that the Lot cannot be sold.
(14) “Reference Price?means the price of the Lot provided in the catalogue or other descriptive materials and estimated prior to the Auction. Subject to possible changes from time to time, the Reference Price can not be deemed as the fixed sale price.

Article 3 Enurement
We organize auction pursuant to Chinese laws, regulations and policies. This Conditions shall enure to the benefit of and be binding upon the Seller, Bidder, Buyer and any other concerned parties participating in our auction in relation to arts, crafts and other cultural relics.

Article 4 Special Notice
We generally represent the Seller during the auction. When the auctioneer confirms the highest bid by striking his hammer or in any other public manners, the Bidder with the highest bid shall be the Buyer of the Lot and the sale contract concerning the Lot between the Seller and the Buyer shall come into effect immediately. Any legal effect accrued thereupon shall be born by the Seller and the Buyer respectively.
These conditions are the terms on which we contract, as the Auctioneer, with the Seller and with the Buyer as well as the terms on which the Seller and the Buyer conclude a contract concerning the Lot. Therefore, any Seller, Bidder, Buyer and other concerned parties participating in the auction should read the Conditions carefully and conform to the provisions hereof. All parties shall be liable for its own actions at auction and any loss caused by failure to read the Conditions carefully.

Article 5 Exclusion of Liability
We shall undertake no guarantee for the authenticity and/or quality of any Lot.
The Bidder and/or its agent shall bear the responsibility of carrying out its own inspection and investigations as to the nature of the Lot and shall be liable for its bid.
Chapter II Conditions Mainly Concerning the Seller
Article 6 Consignment Procedures
When arranging for consignment, the Seller shall hold a valid identity card or passport or other certificates approved by the competent government of People's Republic of China in the case of the seller being a natural person. A valid certificate of registration, ID of legal representative or other legal authorization documents is required in the case of the seller being a legal entity or other organization, and sign a consignment contract with us.
When the Seller arranges for consignment, we shall be automatically authorized to make pictures, illustrations, catalogue, or other video images of the Lot.

Article 7 The Seller's Agent
When arranging for consignment, the Seller's Agent shall submit to us a relevant authorization letter and hold a valid identity card or passport or other certificates approved by the competent government of People's Republic of China in the case of a natural person. A valid certificate of registration, ID of legal representative or other legal authorization documents is required in the case of a legal person or other organization.
We are reserve the right to examine and amend the above arrangement in any manner we consider reasonable.

Article 8 The Seller's Warranties
The Seller hereby makes irrevocable warranties as follows to us and the Buyer with respect to the consigned Lot:
(1) the Seller has exclusive and absolute ownership and legal right to dispose of the Lot. Without prejudice to any legal interest (including copyright) of any third party, the auction of the Lot shall not violate any relevant law and regulation;
(2) the Seller has, to the best of its knowledge, made full and complete disclosure and described to us with respect to the origin and any flaw or defect of the Lot without any concealment and fabrication; and
(3) the Seller shall indemnify and hold us and/or the Buyer from and against any claims, losses and damages or actions incurred or brought by the actual owner or any third party who claims to be the actual owner of the Lot and all expenses and costs incurred in connection therewith arising out of or in any way attributable to any breach of the above warranties.

Article 9 Reserve
All Lots are offered subject to a Reserve, unless otherwise agreed by the Seller and us. The Reserve shall be determined by the Seller and us in writing and no modification or amendment of the Reserve shall be binding upon the parties unless subject to prior written consent of the other party.
In no circumstances, shall we accept any liability for failure in sale due to bidding lower than the Reserve at the auction.

Article 10 Our Discretion
We may decide the followings at our absolute discretion:
(1) explanation and appraisal of any Lot made by the catalogue of Lot and/or news media and/or in other ways;
(2) adoption of expert's opinion;
(3) the arrangement of the order, location, page size of illustration of the Lot in Catalogue and relevant expenses incurred therefore; specific means of exhibition/display of the Lot and all relevant arrangement and expenses incurred therefore.
(4) Unless otherwise agreed by the Seller and us, we shall at our own discretion decide on whether the Lot is appropriate to be auctioned by us as well as the place of auction, the date of auction, the conditions of auction and the way of auction.

Article 11 Unauctionable Lot
After the Seller has signed the sales contract with and delivered the Lot to us, if for any reason we believe that the Lot is not suitable for auction, the seller must collect the Lot within 30 days from the date of our notice being dispatched (fees for the packaging and handling shall be paid by the seller), the contract between the seller and us will cease on the date the seller collects the Lot. If during the abovementioned period the seller fails to collect the Lot, the contract will be automatically ended. If within seven days after the ceasing of the contract, the seller does not collect the Lot, the Company reserves the right to sale the Lot by means of public auction or in other ways and conditions we consider proper. If we succeed in selling the Lot, the sales proceeds will be paid to the seller, less reasonable handling expenses.

Article 12 Suspension of Auction
We may suspend any auction at any time under any one of the following situations:
(1) we have objection to the ownership and authenticity of the Lot;
(2) any third party has objection to the ownership and authenticity of the Lot with undertakings to provide relevant evidence, make security pursuant to our provisions and take all legal responsibilities for all legal repercussions and losses due to suspension of auction;
(3) we have objection to the explanation of the Seller or the accuracy regarding the Seller's warranty provided in Article 8;
(4) we have any evidence to prove the Seller has already violated or is to violate any term of this Conditions; and
(5) any other reasonable causes.

Article 13 Withdrawal of Lots by Seller
The Seller may withdraw the Lot at any time prior to the Auction Date subject to our consent and a written notice stating the reasons. In the case that the catalogue or any other advertisements of the Lot have begun to print upon the Seller's withdrawal, the Seller shall pay an amount equal to 20% of the insured value of the Lot and other Expenses in connection therewith. In the case that the catalogue or other advertisement has not been printed, the Seller shall pay an amount equal to 10% of the insured value and other related Expenses.
No dispute or claim arising out of the Seller's withdrawal shall be born by auctioneer.

Article 14 Insured Automatically
Unless otherwise instructed by the Seller in writing, all the Lots will be automatically covered under the insurance of our company as soon as the Seller signs the consignment contract with us and delivers the Lot to us. The insured value shall be based on the Reserve agreed by the Seller and us in the consignment contract (if no Reserve, the insured value is the one agreed by both parties; if the Reserve is adjusted, the insured value shall be the original Reserve). The insured value is only subject to insurance and claim other than our warranty or security for the value of the Lot and the Hammer Price of the Lot.

Article 15 Insurance Premium
Unless otherwise agreed by the Seller and us, the Seller shall pay the insurance premium equal to 1% of the Hammer Price of the Lot after sale. In the case that the Lot fails to sell, the insurance fee payable by the Seller shall be 1% of the Reserve.

Article 16 Insurance Period
In the case that the auction of the Lot succeeds, the insurance period shall terminate on the earlier of expiry of seven days after Sale Date and the date when the Buyer collects the Lot. In the case that the auction fails, the insurance period shall terminate upon the expiry of seven days after the Seller has received our notice to take back the Lot.

Article 17 Insurance by Seller
In the event that the Seller notifies us not to arrange insurance for the Lot in writing, it shall undertake to bear all the risks and the following liabilities (unless otherwise judged by court or arbitration commission):
(1) to indemnify us from and against any claims or actions incurred or brought by any third party with respect to the losses or damages of the Lot;
(2) to hold us and/or any other parties from and against any losses and expenses in relation to the damages and/or losses of the Lot caused by any reason; and
(3) to notify the terms of indemnity hereunder to any insurer of the Lot.

Article 18 Uninsured
We will not be liable for the damages or losses of the Lot caused by natural wear, inherent flaws, inherent or potential defects, inherent material changes, self-combustion, self-warming, oxidation, rust, leakage, rat-bite, woodworm, changes in atmospheric (climate, temperature or humidity) conditions, changes in normal water level, or other reasons of natural changes and caused by earthquake, tsunami, war, actions similar to war, hostile actions, armed conflicts, terrorism, rebellion, coup, strike, riots, or nuclear fission, nuclear fusion, nuclear weapon, nuclear radiation, or radioactive pollution. We will also not take responsibility for any damages to or any losses of frames, glass, drawer, bottom mat, trestle, mounting, insert pages, roller or other similar accessories caused by any reason.

Article 19 Insurance Indemnity
Any damages or losses of the Lot caused by incidents or disasters covered by insurance we purchased for the Lot shall be handled in accordance with Chinese laws and regulations regarding insurance. We shall pay insurance indemnities less all expenses incurred by us (except commissions) to the Seller after we obtain such indemnities from insurance company.

Article 20 Non-Bidding
The Seller shall not bid for the Lot consigned to us by itself, nor authorize any other person to bid on its behalf. The Seller shall be liable for and indemnify us for any losses and damages caused by violation of this provision.

Article 21 Commission and Expenses
Unless otherwise agreed upon by the Seller and us, the Seller shall authorize us to deduct 10% of the Hammer Price as commission and any other Expenses from the Hammer Price.
Nevertheless we act as the agent of the Seller, the Seller agree that we may be entitled to the Buyer's remuneration and other Expenses payable by the Buyer in accordance with provisions in Article 48 hereof.

Article 22 Service Fee for Unsold Lot
In the case that the auction of the Lot fails due to bidding lower than the Reserve, the Seller shall authorize us to charge the Seller a service fee of unsuccessful auction equal to 3% of the Reserve and other expenses payable by the Seller.

Article 23 Payment Proceeds of Sale
In the case that the Buyer makes full payment to us in accordance with provisions in Article 48 hereof, we shall pay the Proceeds of Sale (after paid the taxes that provided in Article 26 of this Conditions) to the Seller in RMB currency after 35 days since the Sale Date.

Article 24 Deferred Payment
In case we do not receive the full payment from the Buyer upon the expiry of payment period under Article 49 hereof, we will pay the Sale Proceeds (after paid the taxes that provided in Article 26 of this Conditions) to the Seller within seven business days (meanwhile such payment should be made after 35 days of Sale Date as well) after receipt of such full payment from the Buyer.

Article 25 cancellation
In the event that the Buyer not making full payment to us within 60 days from Sale Date, the Seller is authorized to cancel the transaction after giving us a notice in writing and receiving prior approval from us. A cancellation notice is to be dispatched to the Buyer within 7 working days after such decision approving the cancellation is made by the Company. In the event that the Buyer make full payment and/or finish collect procedure before the service of the cancellation notice of the Seller to the Company, such notice should be deemed to be terminated automatically, and the transaction is to be carried out in accordance with regulations stipulated in Article 24, on which the Seller should cooperate with the Company and under no circumstance to raise any objection. In the event that the Seller cancel the transaction, the Seller must collect the Lot within 30 days from the date of our notice being dispatched (fees for the packaging and handling shall be paid by the seller). In the event the Lot is not been collected within the above period, the Company is authorized to sell the Lot by means of auction or in other ways under the conditions the Company consider appropriate. The Seller holds responsibility to collect the amount net of expenses incurred by the Company.

Article 26 Taxes
In case the Seller has a duty to pay tax imposed on its Sale Proceeds to the government of People's Republic of China, the Auctioneer should withhold and pay the tax to the competent authority in accordance with the relevant laws or administrative regulations of People's Republic of China, and the Auctioneer should deliver tax payment receipt to the Seller after the Auctioneer has paid the tax.

Article 27 Assistance in Collecting Deferred Payments
In the event the Buyer fails to make full payment to us within seven days of the Sale Date, we are entitled to recover the remuneration and other Expenses payable by the Buyer in accordance with provisions in Article 56 hereof and to take necessary measures to assist the Seller in collecting deferred payments upon the Seller's request as soon as practicable. However, we shall have no obligation to sue the Buyer on behalf of the Seller in any circumstances.

Article 28 Our Discretion
We may determine the following matters, as the case maybe, upon authorization of the Seller (at the Seller's expense)
(1) to agree special terms on how to make the payment of Purchase Price;
(2) to remove, store and arrange insurance for sold Lot;
(3) to settle claims brought by the Buyer or the Seller in accordance with relevant terms and conditions hereof;
(4) take other necessary steps to collect the deferred payment by the Buyer to the Seller.

Article 29 Unsold Lot
In the event that the Lot is not sold in its first offering, the Seller shall take back the Lot within 30 days after receipt of our notice (packing and shipping at the Seller's own expense) and pay us fees for failed auction and all other expenses. If the Seller fails to do so, we reserve the right to resell the Lot by public auction or in other ways under the conditions we consider appropriate and pay to the Seller the Sale Proceeds, after having deducted the all agreed upon fees and other expenses accrued in the first auction and all costs incur in the resale of the Lot.

Article 30 Risks and losses
The Seller shall take liability for any risk and /or loss occurred after the period mentioned above in case of failure in taking back the Lot in such period. In the case that the Seller requires us to assist in returning the Lot, the Seller shall be liable for all risks and/or all losses, bear all the expenses. Generally, we are not responsible for arrangement of transportation insurance unless the Seller specifically instructs us to do so and bears the insurance premium.
Chapter III Conditions Mainly Concerning the Bidder and the Buyer
Article 31 Catalogue of Lot
At the auction, we will prepare a catalogue to introduce the status of the Lot with words and/or pictures for the convenience of Bidders and Sellers. The words, Reference Price, pictures of the catalogue and other images and advertisements are only reference for Bidders and are subject to revision before auction. We provide no guarantee for the authenticity, value, tone, quality and flaw or defect of any Lot.

Article 32 Uncertainty of Catalogue
In case that the tone, color, graduation and shape shown in catalogue and/or any other illustrations, images and advertisements differ from those of the original of the Lot due to print, photograph and other technical reasons, the original shall apply.
Any statement and appraisal in any ways (including but not limited to the certificate, catalogue, slide show, news media) of any Lot made by us and our employees or their agents are only for reference and should not relied on as any guarantee for the Lot. We and our employees or its agents shall undertake no liability for any inaccuracy and omission in the statements and appraisal mentioned above.

Article 33 Inspection by Bidders
We shall undertake no guarantee for the authenticity and/or quality of the Lot. Bidder and/or its agents shall inspect and investigate the actual status regarding the Lot and take liability for its bidding.
We strongly advise the Bidders to inspect personally the original Lot they intend to bid by identification or other methods before Auction Date. Bidders shall judge whether the Lot according with its description by themselves other than relying on our catalogue and other images and advertisements of the Lot.

Article 34 Registration of Bidders
The Bidder shall register and receive bidding number before the Auction Date with a valid identity card, or passport or other certificates approved by the People's Republic of China in the case of a natural person, or a valid certificate of registration, ID of legal representative or other legal authorization certificates in the case of a legal entity or other organization, otherwise it will not be deemed as a legal Bidder.

Article 35 Deposit
We will charge a deposit before the Bidder receives bidding number. The amount of deposit will be announced before Auction Date. We will refund all the deposit mentioned above with no interest to the Bidder within five business days after auction in case it fails in auction. In the event that the Bidder succeeds at auction, the deposit will be taken as part of Purchase Price payable by the Buyer and the balance (if any) will be refunded at collection.

Article 36 Our Option
We may forbid any one from participating in auction, admission to the premises or taking a picture , making sound recording or making a video recording during auction, as the case maybe.

Article 37 Abnormal Events
In case of any abnormal events, we may take necessary actions as the case maybe. In the case that any dispute arises at auction, we may have rights to mediate and settle.

Article 38 Bidding as Principal
Any person who bids shall be deemed as principal, unless the Bidder represents to us a written certificate showing that it is the agent of a principal and subject to our approval in written before Auction Date.

Article 39 Commission Bids
The Bidder shall attend the auction personally; otherwise it may give us a commission in writing to bid on its behalf. We shall have the right to but no obligation to accept such commission.

Article 40 Procedures of Commission Bids
The Bidder who intends to give us a commission to bid on its behalf shall present us with a written authorization certificate and hand in a deposit in accordance with the provisions in Article 35 hereof within certain period (not later than 24 hours before Auction Date).

Article 41 Cancellation of Commission Bids
The Bidder who entrusted us to bid on its behalf shall inform us the cancellation in writing not later than 24 hours before Auction Date.

Article 42 Non-liability of Commission Bids
Since we charge no fee for bidding on behalf of the Bidder in the case that the Bidder can not attend the auction personally, we and our employees shall not be liable for any failure in bidding or any negligence or fault in the commission bids. Bidders shall attend the auction in person to assure the success of bidding.

Article 43 Principle of Priority
In the event that two or more Bidders entrust us to bid on their behalf for the same Lot and succeed in the same commission price, the Bidder whose authorization certificate was first received by us shall be the Buyer of the Lot.

Article 44 Auctioneer's Discretion
The auctioneer is entitled to represent us to increase or decrease the bidding ladder, refuse any bidding, or restart auction in case any dispute arises.

Article 45 Screen of Video Images
At some auctions, there will be a video screen or other screens in operation for the convenience of Bidders, which is only for reference. However, there are maybe errors in amounts, numbers or pictures of the Lot, or foreign exchange rate on the screen. We shall not be liable for any losses and damages caused by such errors.

Article 46 Successful Bid
When the highest bidding is confirmed by striking the auctioneer's hammer or in other public manners, the Bidder with the highest bidding succeeds in the bid and the sale contract of the Lot between the Buyer and the Seller is concluded.

Article 47 Auction Record
We will prepare a written record with respect to the auction signed by the auctioneer and the recorder.
At the auction, the Buyer shall sign the written record showing the successful bid after the highest bid is confirmed by striking the auctioneer's hammer or in other public manner.

Article 48 Remuneration and Expenses
The Bidder will be deemed as the Buyer of the Lot after succeeding in bidding and shall pay us a remuneration equal to 12% of Hammer Price and other Expenses and acknowledge that we are entitled to charge commission and other costs payable by the Seller in accordance with Article 21 hereof.

Article 49 Payment
The Buyer shall make full payments in a lump sum to us and collect the Lot (package and transportation at the Buyer's expense) within seven days after the Sale Date; otherwise, the Buyer shall be liable for breach of contract.

Article 50 Currency
All payments shall be made in the currency designated by us. In the event that the Buyer make payments in currency other than the designated one, the currency shall be converted at the rate agreed upon by the Buyer and us or at the rate announced by People's Bank of China one (1) business day prior to the payment. The Buyer shall reimburse us for any bank charges, commission and other expenses for converting the currency into RMB.

Article 51 Passing of Title
The Buyer will acquire ownership of the Lot after having paid full Purchase Price.

Article 52 Transfer of Risks
After a successful bid, any Lot purchased shall be entirely at Buyer's risk as early as one of the following appears:
(1) the Buyer collects the Lot purchased; or
(2) the Buyer pays to us full Purchase Price for the Lot; or
(3) expiry of seven days after Sale Date.

Article 53 Collection
The Buyer shall collect the purchased Lot at our Company's domicile or other place appointed by us no later than seven days after Sale Date. In case of failure to do so, the Buyer shall be solely responsible for all risks and losses of the Lot and bear all expenses for transportation, storage and insurance in connection therewith due to delay. Nevertheless the Lot is still preserved by us or any other agents, we and our employees or its agents shall not be liable for any losses and damages of the Lot caused by any reason.

Article 54 Package and Transportation
We may arrange packing and handling of the purchased Lot on behalf of the Buyer as the case maybe on its request and the Buyer shall be liable for any loss arising thereupon. In no circumstances shall we take any liability for any damages or losses of glass, frames, drawer, bottom mat, trestle, mounting, insert pages, roller or other similar accessories arising out of any reason. In addition, we shall undertake no liability for any fault, omissions, damages and losses caused by the packers or carriers we recommended.

Article 55 Export of Lot
We will make explanation in the catalogue or at the auction to the Lot prohibited to be exported pursuant to the Protection Law of Cultural Relic of the People's Republic of China and other relevant laws and regulations.
The Buyer shall be responsible for applying for export license in accordance with laws of People's Republic of China for the Lot permitted to be exported pursuant to the Protection Law of Cultural Relic of the People's Republic of China and other relevant laws and regulations.

Article 56 Remedies for Non-payment
In the case that the Buyer fails to make full payment within the period provided in Article 49 hereof, we shall be entitled to exercise one or more of the following remedies:
(1) If following a successful bid the Buyer fails to make payment within the stipulated period, the Buyer will lose the right to request us to refund the deposit and we shall keep the deposit. Besides, the Buyer shall undertake any liability may occur in accordance with this Conditions;
(2) If within seven days after a successful bid the Buyer fails to pay us the purchase price, we shall have the right to provide all or part of the data or information about the Buyer to any third party in cooperation with us for purposes of entrusting such third party to collect all or part of the default payment from the Buyer;
(3) charge the Buyer an interest at a rate of three ten-thousandth per day on the due and unpaid amount until such payment is made fully, to the extent it remains unpaid fully within seven days after Sale Date, unless otherwise agreed by the Buyer and us;
(4) commence lawsuit proceedings against the Buyer for any damages caused by the Buyer's breach of contract, including but not limited to the losses of interest on deferred or unpaid payment by the Buyer.
(5) exercise a lien on the purchased Lot or other properties of the Buyer which may be in our possession for any reason. The Buyer is responsible for all expenses or risks occurred during the period of lien. In case the Buyer fails to perform all relevant obligations hereunder within the period we designated, we shall have the right to dispose of such property in accordance with relevant laws and regulations. In case the proceeds cannot cover the amount outstanding, we are entitled to claim for the balance;
(6) in the event that the Buyer not making full payment to us within 60 days from Sale Date, the Company is authorized to cancel or approve the Seller to cancel the sale of the Lot and/or other Lots sold to the same Buyer at this auction or any other auctions as applicable, and reserve the right to claim for any losses caused by such cancellation.
(7) carry out a re-sale of the Lot by public auction or other ways according to this Conditions subject to the consent of the Seller. The original Buyer shall be liable to the Seller for the remuneration/commission and other Expenses occurred at such auction as well as all Expenses for re-sale by public auctions or other ways. In addition, the original Buyer shall also be liable for the difference, if the Purchase Price actually received by the Seller for re-sale by public auctions or other ways of such Lot is lower than the original Purchase Price that would have been receivable hereunder had the Buyer made the full payments.

Article 57 Remedies for Deferred Collection
In case the Buyer fails to collect the purchased Lot within the period provided in Article 49 hereof, we shall be entitled to exercise one or more of following remedies:
(1) arrange storage of the Lot at our company or any other places at Buyer's risk and expense. The Buyer shall not collect the Lot unless the full Purchase Price is paid (package and transportation at the Buyer's expense);
(2) exercise a lien on the purchased Lot. After 30 days from the delayed collection by the Buyer, we may, as the case maybe, dispose of such Lot in accordance with relevant laws and regulations and apply the proceeds to compensate for the amount outstanding owed to us including but not limited to fees of storage, insurance, transportation,notarization and all expenses occurred in connection to disposal of the Lot. The Seller should collect the balance (if any) at its own expenses.
Chapter IV Miscellaneous
Article 58 Confidentiality
We shall be obligated to maintain the confidentiality of any information provided to us (except otherwise prescribed by laws of People's Republic of China), and indemnify all legal rights of Seller, Bidder, Buyer and our company against any damages according to the relevant laws and regulations of the People's Republic of China.

Article 59 Identification
We may identify the Lot if necessary, as the case maybe, at our own discretion. In case of any discrepancy with respect to the status of such Lot between the identification and the consignment contract, we shall be entitled to modify or rescind the consignment contract.

Article 60 Copyright
We shall be entitled to take photographs, make illustrations, catalogue or other images relating to the Lot consigned to us for auction and shall have the copyright for such photographs, illustrations, catalogue or other images mentioned above.

Article 61 Exemption
We, acting as agent of the Seller, shall undertake no liability for any breach of contract by the Buyer or the Seller.

Article 62 Notice in Written
Both the Bidder and Seller shall notify us their valid and regular communications and address. No change in any of the particulars will be effective until it has been notified in writing as soon as possible. All notices referred in this agreement shall be in writing and shall be delivered by post or transmitted by fax. A notice sent by post shall be deemed to have been sent on the date we give it to post office and received by the addressee via normal mail service. A notice sent by fax, shall be deemed to be received on the date when it is faxed.

Article 63 Severability
If any provision or part of this Conditions is deemed invalid, unlawful or unenforceable by a competent agency, this Conditions shall be ineffective to the extent of such unlawfulness or unenforceability without invalidating or affecting the validity or enforceability of the remaining provisions of this Conditions.

Article 64 Settlement of Disputes
If any dispute arises from or related with participation in the auction pursuant to this Conditions, all concerned parties shall submit such dispute to a competent Chinese court of the place where our company has its domicile unless the Parties have agreed otherwise. Such dispute shall be governed by Chinese laws.

Article 65 Language
This Conditions is written in Chinese and English. The English version is only for reference. In case of any discrepancy between the Chinese version and English version, the Chinese, as the official version, shall prevail.

Article 66 Copyright of this Conditions
This Conditions is made and amended in accordance with Chinese laws and we shall have its copyright accordingly. Without our prior written consent, no party shall use this Conditions for commercial purpose in any way or manner and shall not copy, transmit, or store any part hereof into a searchable system.

Article 67 Singular and Plural
In the provisions of this Conditions, the singular includes the plural and vice versa where the context requires.

Article 68 Right to alternation
The Company reserves right to make any alternation to this Condition at its sole discretion at any time the Company considers proper. The altered version is valid and become automatically effective on the date it is altered and is to be published in the way the Company considers proper. Any party involved need to pay attention to any such alternation of this Condition and the Company should be on no conditions to be liable to any separate notice.

Article 69 Formatted text
Unless otherwise agreed by the Company, the consignment auction contract mentioned in Article 6 of this Condition and the cancellation notice mentioned in Article 25 should be in the forms provided by the Company. Such forms provided by the Company consists a whole part together with this Condition.

Article 70 Date of Effectiveness
This Conditions of Business takes effect on October 1, 2006.

Article 71 Right to Interpret
We have the right to interpret this Conditions at our own discretion.