This document defines the terms and conditions for participation in the auction, which are mandatory for any person wishing to participate in the auction.

1. Definition of Terms

1.1. For the purpose of conducting the auction, the following terms shall have the meanings set out below:

• Company – LLC “Lion Auction” (ID: 402337075);
• Auction – an auction conducted by LLC “Lion Auction”, whether a live auction or an online auction;
• Online Auction – an electronic auction conducted on the company’s website;
• Live Auction – an auction conducted by the company in live mode;
• Lot – the identification number of a vehicle or other means of transport listed at the auction;
• Bid – the price placed by an auction participant;
• User/Participant – a natural person registered at the auction;
• Website – the official website of LLC “Lion Auction”: https://lionauctions.com/;
• Legislation – the current legislative and subordinate normative acts of Georgia;
• Deposit Amount – the amount designated for participation in the auction.

2. Terms and Conditions for Registration and Participation in the Auction

2.1. The terms and conditions defined by this article apply to both the live auction defined by Article 3 and the online auction defined by Article 4.

2.2. A person, upon registration on the website, is entitled to participate in the auction, place a bid on a lot of their choice, and, in the event of winning, purchase the vehicle from the owner.

2.3. To participate, the prospective participant must register in the auction’s electronic system, enter their personal data (first name, last name, mobile number, personal ID or passport number, and email address (for live auction only)), and pay the deposit amount.

2.4. A person who enters their data into the electronic system is obligated to familiarize themselves with the auction’s terms and conditions, which are available when completing the registration form. By clicking the “I agree to the terms and conditions” button, the person confirms that they have read and agree to the company’s terms and conditions. This consent constitutes the person’s voluntarily expressed wish, which produces legally binding consequences.

2.5. The right to register for the auction belongs to a legally capable adult natural person who has reached the age of 18 (eighteen) and whose participation in the auction and purchase of a vehicle is not restricted under the legislation of Georgia.

2.6. When registering in the electronic system, the person must undergo verification by entering the one-time code sent from the electronic system to the mobile number they have provided, in the relevant field.

2.7. The auction lists vehicles belonging to various owners, which users have the right to purchase through the auction process. The company ensures the functioning of the auction.

2.8. The vehicle may be located in Georgia, en route to Georgia, or outside the borders of Georgia. Information in this regard will be indicated on the auction website.

2.9. Payment of the deposit amount is required in order to participate in the auction. In the event that the user wins a vehicle at the auction, the deposit amount shall be counted toward the final settlement.

2.10. After winning a vehicle at the auction, the user is obligated to pay the full value of the vehicle, following which they must complete the registration of ownership. Registration shall be carried out during the working hours established by the LEPL Service Agency.

2.11. The user is entitled to remove the vehicle from the auction premises after paying its full value (including both auction-related and other applicable fees) and completing the vehicle’s registration.

2.12. In the event that the deposit has been paid by a third party, while participation in the auction and registration of the vehicle is carried out by another person, this circumstance must be agreed upon in advance with the company. The payment description of the deposit must mandatorily indicate the first name, last name, and personal identification number of the person who will participate in the auction and in whose name the vehicle will be registered. Similarly, the company must be notified in advance in cases where the deposit is paid by the auction participant but the vehicle registration is to be made in the name of another person.

2.13. Each vehicle has a starting price. The bid placed by the user must exceed the starting price.

2.14. Once a bid has been placed, the user will be unable to edit, reduce, and/or cancel it.

2.15. The placement of a bid by the user is deemed confirmation that they agree to purchase the specific vehicle at the price they have placed.

2.16. Each vehicle at the auction has one of two predetermined statuses: “Pure Sale” or “On Approval”, which determines whether the purchase of the vehicle requires confirmation from the company and/or the owner of the vehicle.

2.17. If the vehicle’s status is designated as “Pure Sale”, this means that the purchase of the vehicle at the final bid does not require confirmation from the company and/or the owner of the vehicle.

2.18. If the vehicle’s status is designated as “On Approval” – this means that for the purchase of the vehicle at the final bid at the auction, confirmation is required from the company and/or the owner of the vehicle, confirming that they agree to transfer the specific vehicle to the auction winner at the final bid amount placed at the auction. In the case of this status, the company and/or the owner of the vehicle have the right to refuse to sell the vehicle at the final bid amount, and the user is not entitled to raise a claim, since the status of the specific vehicle was known to them in advance.

2.19. If the vehicle’s status is designated as “On Approval”, the company shall notify the auction participant of the response within 5 (five) business days.

3. Terms and Conditions for Participation in the Live Auction

3.1. When participating in the live auction, the deposit amount is determined per auction, meaning that for participation in all vehicles presented at the current day’s auction, the deposit amount need only be paid once.

3.2. When participating in the live auction, payment of the deposit amount is made before the start of the auction in cash or by non-cash settlement.

3.3. In the event that the user fails to win a vehicle and no longer wishes to participate in another auction, they shall be refunded the full amount of the deposit paid, subject to the present terms and conditions.

3.4. If the user wins more than one vehicle at the auction and cancels the purchase of any vehicle, the deposit paid (regardless of the payment description) shall be deemed in full as a penalty (liquidated damages) and shall not be counted toward the value of any other vehicle.

3.5. Each participant is assigned a universal code, which is placed on the auction paddle and by which they are identified. During the course of the auction, a bid on a lot is placed by raising the paddle assigned to the user and/or by calling out the desired amount.

3.6. The estimated bid amount to be placed at the auction may be announced by the auctioneer. If a person gives their consent to the bid announced by the auctioneer, it shall also be deemed placed.

3.7. In the event that multiple users place bids of the same amount, the bid of the user who first registered such bid shall be recorded.

3.8. The auction process is entirely managed by the auctioneer, who initially provides auction participants with information about the lot. Following this, auction participants begin the process of placing bids; a bid is placed by the user via the paddle.

3.9. The winner of the auction is the participant holding the final bid, i.e., the one who places the highest amount at the specified time.

3.10. The auction continues until the winner is determined. In the event that no participant has registered for the auction, the auction shall close upon the expiry date.

3.11. The amount of each bid must not be less than the Georgian Gel equivalent of 100.00 (one hundred) US Dollars below the bid already placed at the auction, except in the case defined by clause 3.5.

3.12. After the auction closes, the results of the auction will be made known to the user. The user shall receive notifications regarding the progress and results of the auction at the contact number they have provided.

3.13. The user is responsible for all actions taken on their part during the course of the auction.

4. Terms and Conditions for Participation in the Online Auction

4.1. In the online auction, the deposit amount is determined per vehicle, meaning that the user must pay the deposit amount for each vehicle individually.

4.2. In the case of an online auction, payment of the deposit amount is made before the start of the auction exclusively by non-cash settlement.

4.3. If the user fails to win a vehicle, they shall be refunded the full amount of the deposit paid, subject to the present terms and conditions.

4.4. During participation in the auction and placement of a bid, the user’s data shall not be disclosed to other participants.

4.5. The user must enter the desired bid amount at the time of completing the auction registration form, by entering it in the bid field on the website.

4.6. In addition to the bid placed, auction participants shall have access to the start and end time of the auction and other additional information regarding both the vehicle and the auction details.

4.7. Each vehicle’s auction has a predetermined time indicating when the auction will start and end. The winner of the auction is the participant holding the final bid, i.e., the one who places the highest amount within the specified period.

4.8. In the event that no participant has registered for the auction, the auction shall close upon the expiry date.

4.9. The placement of a bid by the user is deemed their consent to purchase the specific vehicle at the price they have placed.

4.10. The amount of each bid must not be less than the Georgian Gel equivalent of 100.00 (one hundred) US Dollars below the bid already placed at the auction.

4.11. Each vehicle has a specified minimum bid amount; the bid placed by the user must exceed this amount.

4.12. During auction participation, when another user places a bid, the previous user receives a notification regarding the change in the bid amount at the auction.

4.13. When the user places a bid, they will receive a notification that their current bid is the highest, until another user places a higher bid and/or the time expires.

4.14. The user shall receive notifications regarding the progress and results of the auction at the contact number they have provided.

4.15. After winning a vehicle at the auction, the winning user shall be contacted by a company representative, who will provide them with information on the procedures for paying the full value of the vehicle, its registration, and removal.

4.16. The user is responsible for all transactions and actions carried out by them on the website.

4.17. After the auction closes, the user shall receive information regarding the auction results at their contact number.

5. Auction User

5.1. The user is obligated to provide the company with the information and documents required for the process of participating in the auction and purchasing a vehicle (identity document or passport or driver’s license, receipt confirming payment of the deposit amount, etc.).

5.2. The user assumes responsibility for the accuracy and validity of the information and documentation provided to the company by them.

5.3. The provision of false/misleading/fraudulent information to the company by the user gives rise to liability as provided under the legislation of Georgia. Furthermore, in such a case, the company is entitled to restrict the participant’s participation in the auction and to impose and retain the deposit amount paid by them as a penalty (liquidated damages).

5.4. The user is responsible for all actions taken on their part, both during the conduct of the auction and in the course of their interaction with the company.

5.5. The user may at any time update their information with the company’s representative on the basis of a written request.

5.6. The user may request the return of the deposit amount paid by them, in the event that they are entitled to receive such amount in accordance with the present rules and are not registered as the winner of any auction for which final settlement has not yet been made.

5.7. By registering for the auction, the user confirms that their participation in the auction does not violate any obligation prescribed to them by law, any decision rendered by a court, any order, instruction, and/or decree issued by any state authority, or international legislation.

5.8. By registering in the electronic system, the user confirms that they are not a party to any litigation that would prevent the implementation of the auction results and compliance with the present rules. 

5.9. The user is not entitled to participate in the auction for the purpose of artificially inflating the auction price. Upon discovery of such a case, the company is entitled to deny the user access to the auction and to retain the deposit amount paid by them, as well as to take other actions as provided under the legislation.

5.10. The user is entitled to receive information about the vehicle listed at the auction as provided under the legislation of Georgia and the present rules.

5.11. By registering for the auction, the user declares their consent to fully comply with the present terms and conditions.

5.12. The user declares that they are not directly or indirectly involved in any unlawful or criminal activity contrary to the legislation, including money laundering, arms trafficking, drug trafficking, and/or terrorism; that the purpose of entering into the transaction is not to finance terrorism and/or any other unlawful activity; that they are not included in the list of terrorists or persons facilitating terrorism and/or are not in any way connected with them; and that they do not participate in any unlawful action whatsoever.

5.13. The company has the right to claim compensation for damages, including reputational damages, in the event of any breach of obligations and warranties by the user, which the user must pay immediately and without delay upon demand by the auction.

5.14. The company is entitled to restrict a person’s participation if there is an objective basis for doing so (including, among others, violation of legislation, technical manipulation, or material breach of the rules), of which the user shall be notified in writing.

6. Procedures for Payment and Return of the Auction Deposit Amount and the Value of the Vehicle

6.1. Procedure for payment and return of the deposit amount:

6.1.1. Payment of the auction deposit amount is made before the start of the auction, depending on the auction type, in cash or by non-cash settlement.

6.1.2. The deposit amount is 500.00 (five hundred) Georgian Gel.

6.1.3. In the case of non-cash settlement, the deposit amount is paid by transferring funds to the company’s bank account through the electronic system. This is carried out via payment at the bank terminal of banks registered under the legislation of Georgia, as well as by entering the user’s bank card details into the electronic system, or through the Apple Pay & Google Pay systems.

6.1.4. In the case of cash payment, the return of the deposit amount shall be made within 10 (ten) calendar days from the date the request is registered.

6.1.5. In the case of non-cash settlement, the return of the deposit amount shall be made within 3-7 business days from the date of the request, to the same bank account from which the funds were transferred. With regard to the timeframe for the return of the deposit amount, the user must also take into account the procedural timelines of the bank holding their account.

6.2. Procedure for payment of the vehicle value:

6.2.1. Payment of the final auction price is made in cash or by non-cash settlement, in accordance with the auction or the auction’s instruction, by transferring funds to the bank account of the vehicle owner.

6.2.2. The winning user must pay the value of the vehicle within 3 (three) business days from the close of the specific auction; otherwise, the auction is entitled, at any time following the expiry of the 3-day period, to cancel the auction results and to retain the deposit amount paid by the user.

7. Additional Provisions

7.1. The company reserves the full right to cancel the results of a completed auction in the event of objective circumstances independent of the company’s will, without any penalties or compensation for damages, within 5 (five) business days from the close of the auction, and in the case of the user’s culpable conduct – at any time.

7.2. Culpable conduct shall mean an intentional or grossly negligent act or omission by the user that directly causes the cancellation of the auction results, including, but not limited to:

a) Providing the company with false, inaccurate, or misleading personal data or documentation;

b) Artificial manipulation of the auction process – coordinated or collusive bid placement with other participants for the purpose of artificially inflating the price;

c) Failure to pay the full value of the vehicle within the established deadline following a win;

d) Participating on behalf of a third party or registering in the name of a third party without prior agreement with the company;

e) Any other act or omission carried out intentionally or through gross negligence that is in direct causal connection with the cancellation of the auction results.

7.3. In the event of cancellation of the auction results by the company, the user shall be refunded the full amount of the funds paid by them, except in the case where the user’s culpable conduct is present. In the event of cancellation of the auction results on the grounds of the user’s culpable conduct, 10% of the funds paid by the user shall not be subject to return and shall remain the property of the company as liquidated damages. The company is also entitled to take other actions as provided under the legislation of Georgia.

7.4. The company and the owner of the vehicle have the right to edit/modify/update the information indicated regarding the condition of the vehicle.

7.5. The company has the right to amend the auction rules at any time, which shall take effect upon their publication.

8. Liability for the Condition of the Vehicle

8.1. Through the company, the vehicle is presented at the auction in the condition in which it was presented during the user’s inspection, meaning that the company is not liable for any defect that was present or communicated to the user as information during the inspection process, or that could have been discovered by viewing the VIN code/history.

8.2. The company does not provide a warranty and, accordingly, is not responsible for the condition of the vehicle registered at the auction and purchased by the user. Therefore, the company has no obligation to certify the serviceability and general condition of the vehicle.

8.3. It is the user’s obligation to check/verify/examine/confirm the condition of the vehicle through its VIN code and history, or by other means (only after prior agreement with the company on the relevant means), before purchasing the vehicle at auction. Accordingly, by placing a bid at the auction, the user declares that they approve of the condition of the vehicle and have no claim in this regard.

8.4. Prior to placing a bid, the user has the right, on the basis of prior agreement with the company, to bring a specialist with the relevant qualifications onto the company’s premises and have them conduct a technical inspection of the vehicle. The inspection takes place exclusively on the company’s premises and does not involve the removal of the vehicle from the company’s premises. Removal from and return to the company’s premises following inspection is not permitted and shall not be considered an inspection within the meaning of this article.

8.5. The user acknowledges and fully takes into account the risks that the vehicle presented at the auction may contain hidden damage, for which the company assumes no liability, provided that such damage was not caused by the company’s fault.

8.6. The company does not guarantee that the vehicle presented at the auction will have a key or any other part.

8.7. The company does not guarantee that the vehicle presented at the auction is fit for transport use and road operation. The vehicle may not be in a roadworthy condition and may require repair and certain servicing. Accordingly, by participating in the auction, the user fully acknowledges the aforementioned circumstance.

8.8. With the exception of conducting the auction, responsibility for all other procedures and matters shall rest with the vehicle owner/lawful possessor (seller) and the user.

9. Auction Results

9.1. In the event of winning a vehicle at the auction, the winning participant is obligated to pay its full value.

9.2. Following the winning of a vehicle at the auction, the company’s representative shall additionally provide the user with information regarding the transfer of ownership and removal from the company’s premises.

9.3. Following the winning of the auction, the vehicle owner and the auction winner are both obligated to take all necessary measures and submit all required documentation in order to register the vehicle in the user’s ownership in accordance with the legislation.

9.4. After paying the full value of the vehicle at the auction, the auction winner is obligated to complete the registration within 3 (three) calendar days, and if the vehicle is located on the company’s premises, to remove their property within 6 (six) days of signing the sale and purchase agreement; otherwise, the user shall be charged a penalty in the Georgian Gel equivalent of 20 (twenty) US Dollars per each day of delay. The user is also obligated to cover the storage costs for the vehicle. The company has the right to withhold permission for the user to remove the vehicle from the premises until the penalty amount is paid and all obligations are fulfilled.

9.5. For any matter related to the registration of the vehicle in the user’s ownership, the vehicle owner and the auction winner (user) shall be responsible.

9.6. The user is obligated to fully cover any taxes related to the registration/transfer of ownership, including state fees.

9.7. Dismantling and repairing the vehicle on the company’s premises is prohibited. The winning participant must remove the vehicle purchased by them from the company’s premises in compliance with Georgian law and safety regulations.

9.8. The vehicle owner is entitled to withhold the transfer of the vehicle to the auction winner in ownership/possession until full payment of its value.

10. Dispute Resolution and Applicable Law

10.1. Any dispute arising between the parties on the basis of the auction shall be resolved through negotiation with a view to reaching a mutual agreement.

10.2. If the negotiations between the parties fail to produce a result, any dispute arising between the parties under the agreement shall be resolved in accordance with the applicable law of Georgia, to the exclusion of any other applicable law.

10.3. Any dispute arising on the basis of and/or in connection with the auction shall be resolved by the courts of Georgia, to the exclusion of the jurisdiction of the courts of any other country or countries.

11. Force Majeure

11.1. The company and the user shall not be liable for the full or partial non-performance of their obligations if such non-performance is caused by force majeure that directly affects the performance of the present agreement. Such circumstances may include fire and explosion (except those caused by either party), theft, natural disaster, military actions, uprisings, riots, civil wars and civil unrest, epidemic, quarantine, mandatory regulations adopted by state authorities, strike, chemical and/or biological contamination, and/or any other circumstance beyond their control. For the purposes of the present agreement, these circumstances shall only be considered as force majeure events if they directly affect the performance by a party of the obligations assumed under the agreement.

11.2. In the event of the occurrence of force majeure circumstances that cause the inability of either party to perform their obligations or exercise their rights, the party that is unable to perform the obligations assumed under the agreement due to force majeure shall, immediately upon the occurrence of such circumstances, notify the other party of the occurrence of the force majeure event, and in such case, the deadline for the performance of their obligations shall be extended by the duration of the force majeure event.

11.3. If the effect of the force majeure circumstances continues for more than 20 (twenty) calendar days, the parties shall consider the matter of terminating the agreement.

12. Processing of Personal Data

12.1. The auction user, by registering for the auction, declares their consent for the company to collect/process, store, and archive personal information about the auction participant (including data of a special category), and contact information (telephone number, email, address, and other), for the purpose of offering/providing the product defined by the auction conditions and/or any other relevant type of service.

12.2. The processing of the auction participant’s personal data is carried out: for the purpose of providing services, improving and/or updating the quality of services; for conducting research and surveys, including statistical research, and for analytical purposes; for the purpose of processing and responding to questions raised by the auction participant and providing feedback.

12.3. By signing the present agreement, the auction user declares their consent that the company is authorised to process their personal data (first name, last name, personal identification number, contact information: telephone number, email) for the purpose of carrying out direct marketing. The auction user declares their consent to receive news and additional information regarding the conduct of auctions at the contact number provided by them.

12.4. The company, as the person responsible for data processing, guarantees that any information obtained about data subjects shall be strictly protected by it, and that the sharing of personal data with third parties shall occur only for service-related purposes and in accordance with the cases defined by law.

12.5. The auction participant may at any time refuse the processing of their personal data by LLC “Lion Auction” by sending a written notification to the email address: contact@lionauctions.com , in which case the company shall immediately cease the processing of those personal data of the data subject in respect of which they have declared their refusal.

13. Additional Provisions

13.1. The failure of either party to exercise, or temporary non-exercise of, the rights granted under the present rules shall not be construed as a waiver of such rights.

13.2. All annexes (if any) attached to the present rules shall form an integral part thereof.

13.3. The invalidity of any provision of the present rules shall not result in the invalidity of the rules as a whole. In place of the invalid provision, a provision shall be applied by which the purpose envisaged by the present rules (and including the invalid provision) is more readily achieved.

13.4. The parties agree that remote communication between the parties in electronic form (WhatsApp, Viber, Email, SMS messages, Signify, and other analogous means) is permissible. The parties confirm that any agreement, declaration, transaction, or contract executed and/or confirmed in electronic form, including by SMS message, shall have the same value as a material document and a document confirmed by the personal signature of the auction user, and shall carry equal legal force. Accordingly, the legality and legal force of any agreement/declaration/transaction/contract executed or signed in electronic form (including by SMS message) may not become the subject of a dispute between the parties.