Gray Ranch / M-Heart Corp. Quarter Horse Production Sale   ~  Saturday, April 28, 2007

TERMS AND CONDITIONS

Read Terms & Conditions of Sale Carefully ... Buyers are bound by them whether you read them or not.

1. Examine Horses Carefully Prior to Purchasing.

2. Please Leave hip numbers on all horses until they leave the premises.

3. All accounts must be paid immediately following the sale.

4. All payments must be made in U. S. currency on U. S. banks only.

5. Method of payment shall be cash, Cashier's check, personal check, or Traveler's checks. Visa, MasterCard, American Express & Discover credit cards will be accepted with proper identification. ALL personal or Company checks MUST be accompanied by a Bank Letter of Guarantee NO EXCEPTIONS! View sample BANK LETTER OF GUARANTEE.

6. NO BANK DRAFTS ACCEPTED!

7. Announcements made from the auction stand will take precedence over any printed material.

8. After making the final bid on a horse, you will be asked to complete and sign the Purchase Agreement. Be sure to confirm the correct hip # and price before you sign. Please print your name and address clearly.

9. There is no implied warranty made by auctioneer, announcer, or auction company as to the merchantability or fitness for particular purpose of any animal offered for sale in this auction.

10. Buyers paying for horses with personal check will have their registration papers held for a period of 15 days in order to allow their checks to clear the bank. Buyers paying with cash or cashier's check may receive their registration papers on sale day.

11. A paid receipt is required to remove horses from sale grounds

12. All sales made on sale day must be made through sale office.

13. Everyone attending the sale agrees to hold the Auction Company, Gray Ranch and M-Heart Corporation harmless from any personal injury, death, theft or vandalism.

14. All buyers must register at the auction/ranch office beginning 10AM the morning of the sale.

15. In the event of a dispute between two or more bidders, at the auctioneer’s discretion, the horse in dispute shall immediately be put up again for advance bids. If there are no advance bids, the horse shall go to the person from whom the auctioneer recognizes as the last bid.

16. There will be a $100 charge on ALL returned checks, regardless of reason.

17. Immediately after the horse is sold, it will be the risk and responsibility of the buyer, but possession of the horse cannot be obtained until payment is made in full.

18. All horses must be removed by Saturday Evening following the sale. Failure to remove the horse for any reason will obligate the buyer to pay all costs associated with board, transportation and security of the horse.

19. The Auction Company may distribute or publish the results of this sale in publications or post the results on it's web site.

20. Upon failure of compliance with any of these conditions, the lot shall be resolved by private or public sale and the deficiency (if any) shall be made good by the defaulter immediately.

21. Every effort has been made to assure correctness of the catalog, however errors may occur. Gray Ranch /M-Heart Corporation, the Auction Company and Auctioneer are not responsible for errors and omissions, and assumes no liability on its part or on the part of the seller as to any statement, either verbal or written, regarding horses sold. Please notify us if you see errors. BUYERS ARE CAUTIONED TO PAY CLOSE ATTENTION TO THE ANNOUNCER AND AUCTIONEER'S ANNOUNCEMENTS.

22. Buyer has the right to a veterinary examination before the horse is removed from the sale premises. Once a horse has been removed from the sale premise there is no recourse.

23. Status of pregnant mares to be sold based on manual and/or ultrasound veterinary examination will be announced at time of sale. Purchaser may have any broodmare examined by a veterinarian acceptable to the seller before the mare is removed from the sale premises. If the broodmare is found to be certified, the purchaser shall pay the examination fee. If not certified, the Seller shall pay said fee, otherwise there in no guarantee.

24. All horses in this sale will have a negative test for Equine Infectious Anemia (Coggins test) within six months of sale date. Health certificates will be provided upon request on sale day for horses being transported across state lines.

25. Horses are offered for sale according to the laws of the State of Louisiana.

Pedersen & Pedersen Auctions, Inc.

Mike Pedersen, Auctioneer  LA License #622

2435 E Broad Street,   Lake Charles, LA  70601
Cell: 337-794-5737  ::  Phone: 337-494-1333  ::  Fax: 337- 436-7197  ::  Email: mikepedersen1@aol.com
www.PedersenHorseAuctions.com         www.PedersenAndPedersen.com