GENERAL CONDITIONS OF SALE
OF USED EQUIPMENT

All quotations are subject to prior sale, immediate acceptance or change without notice. Buyer acknowledges that the equipment sold by Technical Machine Sales, Inc. ("TMSI") is used equipment which is not designed or manufactured by TMSI. ALL EQUIPMENT IS SOLD AS IS WITH ALL FAULTS WITH NO EXPRESS OR IMPLIED WARRANTIES, WHETHER WITH RESPECT TO FITNESS FOR A PARTICULAR PURPOSE, MERCHANTABILITY, OR OTHERWISE EXCEPT THOSE WHICH ARE EXTENDED DIRECTLY BY THE MANUFACTURER. ALL WARRANTIES, IF ANY, BY A MANUFACTURER OR SUPPLIER OTHER THAN TMSI ARE THEIRS, NOT TMSI'S, AND ONLY SUCH MANUFACTURER OR SUPPLIER SHALL BE LIABLE FOR ANY OBLIGATIONS OR PERFORMANCE UNDER ANY SUCH WARRANTIES. UNLESS TMSI FURNISHES BUYER WITH A SEPARATE WRITTEN EXPRESS WARRANTY OR SERVICE CONTRACT MADE BY TMSI ON ITS OWN BEHALF, TMSI HEREBY DISCLAIMS ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE ON ALL EQUIPMENT AND SERVICES SOLD BY TMSI. It is understood that there are no conditions or agreements outside of this document, and that all other conversations, agreements, purchase orders, and/or representation with reference to the subject matter are null and void. UNDER NO CIRCUMSTANCES WILL TMSI BE LIABLE FOR ANY INCIDENTAL OR CONSEQUENTIAL DAMAGES OR FOR ANY OTHER LOSS, DAMAGES OR EXPENSE OF ANY KIND, INCLUDING LOSS OF PROFITS ARISING IN CONNECTION WITH THIS CONTRACT OR WITH THE USE OF OR THE INABILITY TO USE EQUIPMENT SOLD UNDER THIS CONTRACT. The equipment sold may not conform to federal safety codes and regulations or the safety codes and regulations enacted by various states. Conformance with all applicable safety codes, regulations and industry safety standards is the sole responsibility of the Buyer. Buyer agrees to indemnify, defend, and hold harmless TMSI from any and all liability connected with or arising out of the use and performance of the equipment purchased from TMSI. Price is FOB TMSI's warehouse in Longview, Texas, cash with order, unless otherwise indicated hereon, and removal is at Buyer's risk and expense. Where payment terms are extended, TMSI retains and is hereby granted a security interest in the equipment purchased with the right of repossession without demand until paid in full. TMSI shall have all rights and remedies of a secured party under the Texas Uniform Commercial Code. All transactions shall be governed by the laws of the State of Texas, with payment due in Longview, Gregg County, Texas. Shipping dates are approximate only and are subject to delays because of acts of God, or any other causes beyond TMSI's control. No material may be returned without prior written consent. Any contrary clause contained in the Buyer's purchase order shall not be considered as a part of the conditions of sale. Although all information has been obtained from sources deemed reliable, TMSI makes no warranty or guaranteed, express or implied, as to the accuracy of any specifications herein contained.

Indemnification. Buyer agrees to indemnify, hold harmless and defend TMSI from and against any and all claims, liabilities or lawsuits arising out of the use of, or in any way involving injury or accident occasioned by, said equipment. This indemnity agreement includes, but is not limited to, the duty to indemnify, hold harmless and defend TMSI in any of the following situations: claims involving or alleging improper or negligent design, maintenance, construction, reconstruction, repair, alteration or modification of the equipment by TMSI, its agents or employees; claims involving allegations of failure, negligent or otherwise, on the part of TMSI to equip said equipment with safety devices as required by federal, state, or local government statutes, rules or regulations, or as is customary in the trade; and claims involving or alleging negligence by TMSI, either alone or jointly with Buyer or any other person, firm or organization. Buyer specifically agrees to indemnify, hold harmless and defend TMSI from any and all claims alleging negligence on the part of TMSI and waives the benefit of any laws, rules or regulations contrary to, or in limitation of, this agreement. The covenants expressed herein shall be severable, and the invalidity, now or in the future, of any of the covenants recited herein shall not affect the validity of the remaining covenants.

Return Privilege: TMSI will accept the return of a machine sold within thirty days of shipment, freight prepaid, for the refund of the purchase price if proven mechanically unsatisfactory. In lieu of refund, we may repair such machine at our sole option. Machines sold directly from auction, brokered by TMSI from third parties are offered "as is" or "as inspected" are not covered by this warranty unless specified in writing by TMSI. All machines are sold on "as-is" basis unless otherwise stated in writing by TMSI.