COPART AUTO AUCTIONS BUYER TERMS AND CONDITIONS

Last updated on: May 9, 2007

As a registered buyer ("Buyer") at Copart ("Copart") you agree to be bound by the following Buyer Terms and Conditions. Copart reserves the right to amend Buyer Terms and Conditions at any time without prior notice to you. In addition, terms and conditions printed on sale sheets, conditions listed on the internet, and the Terms of Service ("TOS") and Privacy Policy for Copart's website at www.copart.com are incorporated into these Buyer Terms and Conditions by reference. Copart's website Terms of Service can be viewed at http://www.copart.com/terms.htm. Copart's Privacy Policy can be viewed at http://www.copart.com/privacy.pdf. Unless otherwise stated, all fees are quoted in U.S. Dollars.

Bidding Overview: There are three ways to bid on vehicles offered for sale at Copart facilities:

• "Kiosk Preliminary Bidding" - Commencing two business days prior to a scheduled sale, up until 11:00 a.m. (local time of the Copart facility where the vehicle is stored) the day of the sale ("Preliminary Bidding Period"), Buyers may submit Kiosk Preliminary Bids through computer terminals located at kiosks installed in the lobbies of Copart facilities. Kiosk Preliminary Bids compete against Internet Preliminary Bids (see below) during the Preliminary Bidding Period. One hour after the close of the Preliminary Bidding Period, the Virtual Auction begins (see below). The highest Preliminary Bid (either Kiosk or Internet) at the close of the Preliminary Bidding Period competes against Virtual Bids (see below) via "BID4U" (see Section II(E), below).

• "Internet Preliminary Bidding" - During the Preliminary Bidding Period, Buyers may log onto Copart's website at www.copart.com and submit bids electronically. Internet and Kiosk Preliminary Bids compete as described above. The highest Preliminary Bid, either Kiosk or Internet, received by Copart will compete against Virtual Bids via "BID4U" during the Virtual Auction.

• "Virtual Bidding" - Buyers may log onto Copart's website at www.copart.com during a VB2 Virtual Auction to submit bids electronically, in real time over the internet, to compete with the highest Preliminary Bid, and other Virtual Bids.

During the Preliminary Bidding Period, Buyers may preview vehicles offered at a scheduled sale at a Copart facility.

Note: Where permitted by state law, sellers may bid on their own vehicles.

I. DISCLAIMERS

A. Vehicle Condition and History Disclaimer. ALL VEHICLES ARE SOLD "AS-IS WHERE-IS" All vehicles sold through Copart Auto Auctions are sold "AS-IS WHERE-IS", WITHOUT ANY WARRANTY, EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO ANY WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE OR MERCHANTABILITY

Copart and its vehicle suppliers expressly disclaim the accuracy or completeness of any and all information provided to Buyers regarding vehicles, whether provided in written, verbal, or digital image form ("Vehicle Information"). Vehicle Information provided by Copart and its vehicle suppliers is for convenience only. Buyers shall not rely on Vehicle Information in deciding whether or how much to bid on a vehicle offered for sale through Copart. Vehicle Information includes but is not limited to: year, make, model, condition, ACV, damage amount, damage type, drivability, accessories, mileage, odometer disclosures, vehicle identification number ("VIN"), title, repair cost, repair history, title history, and total loss history. Copart and its vehicle suppliers expressly disclaim any and all representations, warranties, and guarantees regarding vehicles sold through Copart. Copart does not guarantee that keys are available for any vehicle sold through Copart, regardless of whether keys are present in online vehicle images, or were present in the vehicle prior to the time of purchase. Certain jurisdictions permit vehicles to be sold with missing VIN plates; as a result, Copart does not guarantee that vehicles are equipped with any or all VIN plates. Copart does not guarantee that vehicles meet or can be modified to meet local emission and/or safety requirements. It is the sole responsibility of Buyer to ascertain, confirm, research, inspect, and/or investigate vehicles and any and all Vehicle Information prior to bidding on vehicles.

I agree that Copart vehicles are sold AS IS and are not represented as being in a road worthy condition, mechanically sound, or maintained at any guaranteed level of quality. The vehicles may not be fit for use as a means of transportation and may require substantial repairs at my expense.

B. Registration Laws Disclaimer. Copart does not guarantee that any vehicle sold can be legally registered in any state or country, and Buyer accepts all risks associated with variations in vehicle title and registration laws between states, provinces, and countries that may negatively impact the marketability of vehicles purchased at Copart. (For example, a vehicle legally purchased on a clean title by a Buyer at a Copart facility located in State "A" may be required to be sold on a salvage title if Buyer transports and resells the vehicle in State "B".)

C. DMV/MVD Paperwork Disclaimers. Copart is not responsible for defects, errors, or omissions (i) related to motor vehicle department paperwork not processed by Copart, or (ii) made by DMV/MVD.

II. SALE POLICIES

A. Bid Rejection. Copart reserves the right to reject or void bids for any reason, in Copart's sole and absolute discretion. Should a dispute arise regarding a bid, Copart is the exclusive deciding authority with sole and absolute discretion in resolving disputes. Buyers agree to indemnify, defend, and hold Copart harmless from any and all liability arising out of decisions made in resolving disputes.

B. Sale Cancellation. Copart may, in its sole and absolute discretion and with or without notice, postpone or cancel a sale or withdraw a vehicle from a sale. Copart will neither have liability nor obligation to Buyers as a result of any vehicle withdrawal, or sale cancellation or postponement.

C. Tie Bid Policy. Virtual Bids prevail over Preliminary Bids of equal amount.

D. Increment Bidding. Increment bidding is an option available to Buyers using Preliminary Bidding that authorizes Copart to increase an entered maximum bid by one and only one increment in the event a Virtual Bidder ties your entered maximum bid. If your bid is the highest bid, then your bid will NOT be incremented.

Example: You checked the increment bid box and bid $5,000. Virtual Auction Bid is currently at $5,000 (a tie with your bid - unfortunately, it happens). Your Preliminary Bid is placed next at $5,100 (because you checked the increment bid box). The car sells to you at no more than $5,100 or to Virtual Bidder for $5,200 or more.

E. BID4U. Copart uses BID4U to make the bidding process easier and more efficient. Simply enter a Preliminary Bid representing the maximum price you are willing to pay for the vehicle and BID4U will bid on your behalf up to your maximum bid during both the Preliminary Bidding Period and the Virtual Auction. BID4U will only bid one increment over the current bid to maintain your position as the highest bidder. This allows you the possibility of purchasing a vehicle below your maximum bid. If a bidder with a higher maximum bid outbids you during Preliminary Bidding, you will be notified via email. BID4U is not available for VIX vehicles.

F. On-Approval Vehicles. Vehicles sold "On-Approval" will not be released to Buyers unless and until the seller notifies Copart of its acceptance of the high bid. In some instances, it may take up to three working days, including the day of the sale, for the seller to provide Copart notification of high bid acceptance. However, the majority of "On-Approval" vehicles receive bid acceptance or rejection within one day.

G. VIX (Virtual Insured Exchange) Vehicles

1. VIX vehicles are still in the insured's possession at the time of bidding and may only be inspected using the images available on www.copart.com. The location of the Copart facility where the vehicle and title may be picked up by the high bidder will appear on the sales list for Preliminary Bidding and the Virtual Auction screen during the VB2 sale. BID4U is not available for VIX Vehicles. Bids on VIX vehicles will be accepted at full face value.

2. Copart will submit the high bid on the VIX vehicle to the insurance company that offered the vehicle. The insurance company will then have 72 hours to notify Copart whether the owner has elected to retain the vehicle. If the owner elects to retain the vehicle, or the 72-hour time period is exceeded without Copart being notified of a decision, Copart will notify the Buyer that the vehicle is not available for purchase. If during this 72-hour period Copart receives notification from the insurance company that the owner will not retain the vehicle, Copart will notify the Buyer that the Buyer's high bid has been accepted ("Award Date"). Buyers may also obtain this information by clicking on the "Check Bids" link within the "Buyer Account" section of www.copart.com

3. If a Buyer's bid has been accepted, the Buyer is obligated to purchase the vehicle, but only if Copart notifies the Buyer no later than 45 days after the Award Date that the vehicle and title are available for pick up. Following notification, the Buyer will have the standard number of days allowed by the yard to pick up the vehicle before late-payment and storage fees apply.

4. If Copart notifies the Buyer more than 45 days after the Award Date that the vehicle and title are available for delivery, the Buyer may at its option either (i) cancel the sale, or (ii) pay for and take delivery of the vehicle.

5. If prior to the vehicle being removed from Copart premises, it is determined that items have been removed or replaced on the vehicle, that additional damage has occurred since the time the Buyer submitted his/her bid, and/or there is a title type discrepancy, the Buyer will have the option to purchase the vehicle at the original price or cancel the sale. Odometer readings that differ from the listed mileage by less than 2,000 miles do not qualify for transaction cancellation.

6. Unauthorized or illegal material, including without limitation copyright protected photographs, may not be uploaded to Copart's website.

H. Vehicle Release. Copart reserves the right not to release any vehicle for any reason.

I. Bids Entered. Once a bid has been submitted, it cannot be retracted, deleted, or cancelled.

J. Risk of Loss. Buyer takes full responsibility and assumes all risk of loss for all vehicles purchased from the time Copart accepts Buyer's bid. From and after acceptance of Buyer's bid (for vehicles located at a Copart facility) Buyer acknowledges that Copart is acting as bailee of Buyer's vehicle until such time as the vehicle is removed from Copart's premises. Buyer agrees that under the terms of the bailment, (1) Copart shall not be responsible for damage to or loss of the vehicle or parts thereof due to operational procedures in place at all Copart facilities, from acts of theft or vandalism, or acts of God; (2) Copart shall only be responsible for damage to or loss of the vehicle or parts thereof caused by the direct willful or grossly negligent act or omission of Copart; and (3) Copart shall not be responsible for any claim of damage made after the vehicle has left Copart's premises, regardless of whether Buyer, or any person on Buyer's behalf such as Buyer's agents, employees, or representatives, pick up the vehicle. Once a vehicle is removed from Copart's premises it is accepted AS-IS, and under no circumstances will Copart be liable for subsequent damage or loss of any kind or nature whatsoever. In the event Copart is responsible, damages shall be limited to the lesser of (i) the amount of the diminution in value of the vehicle as reasonably estimated by Copart, or (ii) the purchase price (in which case Buyer shall return the vehicle to Copart). Copart may, in its sole discretion, resell the vehicle at a Copart sale, and the difference between the original sale price and the resale price shall be conclusive as to the amount of diminution of value, if any.

K. Import/Export Issues. It is the responsibility of the buyer to comply with customs import procedures applicable to foreign title vehicles. Customs inspection, import fees and proof of emissions compliance may be required.

III. MEMBERSHIP

A. Membership Eligibility. Membership as a registered Buyer at Copart is open to individuals 18 years of age and older. In addition, yard-specific registration requirements and applicable laws, regulations and restrictions may further limit Buyer registration and vehicle purchasing eligibility. Copart reserves the right to deny membership privileges to, or exclude from Copart facilities, any individual or entity, in its sole and absolute discretion.

B. Registration. Registered Buyers must complete the buyer registration form, and pay a one-time nonrefundable registration fee of $200.00. Wholesale purchasers must provide copies of current licenses and completed sales tax exemption certificates. Membership must be renewed annually by paying the $150.00 annual membership renewal fee and submitting copies of all current licenses, and any information regarding change of ownership or address. Copart reserves the right to increase registration and renewal fees at any time without notice.

С I.D. Cards. Upon registration, Copart will issue identification cards in accordance with the guidelines in effect in the area of Buyer's registration. THE COPART I.D. CARD REMAINS THE PROPERTY OF COPART AND MUST BE SURRENDERED UPON REQUEST. COPART RESERVES THE RIGHT TO EXCLUDE ANY PERSON FROM ITS PREMISES NOT IN POSSESSION OF A VALID COPART I.D. CARD.

D. Authorized Bidders. Businesses registered as Buyers may authorize up to two individuals to submit bids on behalf of the company, including the owner. Authorization of more than two individuals to submit bids is subject to Copart's discretion and may require payment of additional fees.

E. Guests. Except where prohibited by law, guests 16 years of age or older are allowed to enter Copart facilities (including during the Preliminary Bidding Period) when accompanied by a registered buyer. Guest passes are subject to a fee where applicable. Guest passes must be displayed at all times. However, only registered Buyers in good standing are permitted to bid on vehicles.

F. Account Activity. Buyers are responsible for all account activity, including, without limitation, all Preliminary Bids and Virtual Bids submitted under Buyer's username and password through www.copart.com or through terminals located in kiosks at Copart facilities. Buyer's account may not be transferred or assigned to any person or entity. In the event a Buyer's account, membership I.D., or username and password are used without authorization, Buyer shall be responsible for all account activity and charges incurred prior to Copart's receipt of written notice from Buyer of the unauthorized activity.

G. Compliance. Buyers shall comply with all applicable laws, statutes, ordinances and regulations regarding their use of Copart's services.

H. Membership Revocation. Copart reserves the right to suspend or revoke the membership of a Buyer for any reason, in its sole and absolute discretion.

I. Release of Liability and Indemnification. Buyers and their guests irrevocably and unconditionally waive and release their rights (if any) to recover from Copart, its directors, officers, employees, representatives, agents, subsidiaries, partners, and affiliates any and all damages, losses, liabilities, costs expenses, or claims therefore, whether direct or indirect, known or unknown, or foreseen or unforeseen, which may arise from or be related to bodily injury, property damage, or other occurrence which occurs on Copart premises. Buyers agree to indemnify, defend, and hold Copart harmless from any and all damages, losses, liabilities, costs or expenses (including attorneys fees), arising from claims made by Buyer guests for bodily injury or property damage occurring on Copart premises. UNDER NO CIRCUMSTANCES, INCLUDING NEGLIGENCE, WILL COPART BE LIABLE FOR ANY SPECIAL, INCIDENTAL, OR CONSEQUENTIAL DAMAGES OR LOST PROFITS THAT RESULT FROM OR ARE RELATED TO THE SALE, DISTRIBUTION, USE OF, OR INABILITY TO USE, ANY VEHICLE, EVEN IF COPART HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. Buyers and guests who are California residents waive California Civil Code §1542, which reads: "A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the debtor."

J. Marketing and Promotional Materials. Buyers agree they have affirmatively requested to receive marketing and promotional materials via mail, e-mail, and facsimile.

IV. FEES, PAYMENT AND DELIVERIES

A. Fees. Buyer, convenience, storage, loading/gate, late payment, relist, and delivery fees applicable at each Copart facility may vary by location and are subject to change without notice. A fee will be charged for each duplicate salvage certificate or bill of sale requested. Buyer is solely responsible for ascertaining fees applicable to a Copart facility prior to incurring any charges.

B. Payment. Payment for vehicles may be made by either cashier's check or money order. Acceptance of company checks is subject to prior approval by the Copart Accounting Department. Buyers agree to be personally liable for payment of any cashier's check, money order or check that is dishonored. In the event of a dishonored cashier's check, money order, or check, Buyer agrees to make payment within two days after receipt of notice from Copart of a dishonored check, and to pay Copart's NSF processing fee, and any and all collection costs including but not limited to, collection agency fees, and/or attorney's fees and court costs.

C. Sales Tax Indemnification. Buyers purchasing vehicles from Copart at wholesale pursuant to a sales tax exemption certificate agree to indemnify, defend, and hold Copart harmless from any and all sales tax assessments, fines, penalties, damages, and costs, including attorneys fees, incurred as a result of a determination by taxing authorities that the transaction was subject to the payment of sales, use, or excise tax.

D. Relist Fees. In the event a vehicle is not paid for within the time specified by the Copart facility where the vehicle was sold, Buyer agrees that Copart may, in its sole and absolute discretion, cancel the sale, relist the vehicle for sale, and Buyer shall be responsible to pay a relist fee of the greater of $400.00 or 10% of Buyer's bid, plus any collection costs, including court costs and reasonable attorney's fees. Buyers causing excessive vehicles to be relisted are subject to suspension or revocation of their bidding privileges.

E. Automatic Deliveries. Subject to prior approval by Copart, Buyers may arrange for automatic delivery by Copart of all vehicles purchased. Storage charges and gate fees are waived for Buyers set up with automatic delivery. Buyers arranging for automatic delivery also enjoy priority delivery over all other Copart deliveries.

F. Payment for Vehicles Delivered by Copart. All fees and charges on vehicles scheduled for delivery must be paid prior to delivery, if not set up for automatic delivery. STORAGE FEES WILL BE CHARGED ON ALL VEHICLES ASSIGNED FOR DELIVERY AFTER THE PAYMENT GRACE PERIOD HAS ELAPSED. When a delivery in progress cannot be completed, regardless of the reason, Buyer will be charged for a dry run both ways, plus storage at prevailing Copart rates. Buyer must accept the vehicle when it is scheduled for delivery to avoid dry run and storage charges.

G. Unpaid Fees and Priority of Application of Payments. Payments made by Buyer to Copart will be applied in the following order: first towards any unpaid fees (including but not limited to Buyer, convenience, storage, loading/gate, late payment, relist, and delivery fees), then towards payment of any vehicles purchased by Buyer. For example, if Buyer makes a payment of $1,000, but has outstanding relist fees of $400, Copart shall apply the first $400 towards the unpaid relist fees, with the remaining $600 applied towards payment for vehicles. Buyer agrees that Copart has no duty to release a vehicle until both the vehicle and all unpaid fees are paid in full.

V. MISCELLANEOUS TERMS AND CONDITIONS

A. Homeowners Salvage Sales. All homeowners salvage purchased at a Copart sale must be picked up on the sale day. There will be a 20% buyer fee added. Loading/gate fee will only apply if a forklift is required to remove items purchased.

B. Consignment Vehicles. In order to sell a vehicle, you must bring the vehicle and ownership documentation to a Copart facility. Vehicles should be brought into Copart three (3) working days before the day of the sale in order to be sold at the next scheduled sale and to take full advantage of VB2 Preliminary Bidding. Full sale fees apply to vehicles that do not sell or that are not released. You must contact your local Copart facility for current fees and rules applicable to vehicle consignment sales.

C. Copart Yard Rules.

1. Repairing vehicles on Copart premises is strictly prohibited.

2. Vehicles not removed from Copart parking or loading facilities by 4:45 p.m. will be moved to the locked storage area and will only be released upon payment of an additional gate and storage fee.

3. Anyone caught stealing or damaging vehicles will be arrested and prosecuted to the fullest extent of the law. This includes keys.

4. A $100 reward will be paid to anyone providing information leading to the arrest and conviction of individuals stealing or damaging vehicles at Copart facilities. This includes keys.

5. Stay clear of electric fences at all times.

D. Forum Selection, Venue, Jurisdiction, Choice of Law, and Service of Process. Buyer acknowledges and accepts the following as express conditions to membership with Copart:

1. Any action or proceeding arising out of a vehicle purchased at Copart shall be litigated in the state/province and county where the Copart facility that stored the vehicle at the time of sale was located. The laws of the state/province in which the Copart facility that stored the vehicle at the time of sale shall apply. For example, if a vehicle was stored at Copart's facility in Los Angeles, California at the time of sale, any action or proceeding arising out of the sale of that vehicle must be litigated in Los Angeles County, California and California law would apply.

2. Buyer consents to the forum selection, choice of law, jurisdiction, and venue provisions described above.

3. Buyer consents to the service of process by certified or registered mailing of the summons and complaint to the last address provided by Buyer to Copart.

4. This section supersedes the venue provisions of the Copart Website Terms of Service as applied to Buyer disputes involving the bidding on or purchasing of vehicles from Copart.

E. Integration. This Agreement is the entire and sole agreement of the parties hereto with respect to its subject matter. There have been no representations, warranties or promises outside of the Terms and Conditions.