We update the Royal FloraHolland Auction Regulations on a regular basis. Updates are sometimes needed in connection with new functionalities, new services or new developments in the market. The purpose of the Auction Regulations is to provide clarity to growers and buyers.
The Auction Regulations and the associated Terms and Conditions form the legal basis of (a) RFH's day-to-day service provision and (b) the transactions between buyers and growers that are facilitated by RFH. All growers and buyers doing business through RFH should be registered as customers, whereby they consent to the applicable terms and conditions, which include the Auction Regulations. The Auction Regulations themselves have been in existence for decades and are updated from time to time to ensure that their provisions are in line with current practice.
Recent market developments demand clarity, in order to safeguard the proper functioning of the RFH auction. For that reason, RFH is amending the Auction Regulations with effect from 1 June 2022, in order to:
a. make it impossible for products previously auctioned elsewhere to be offered for auction once again at RFH;
b. require suppliers who make use of auction systems other than RFH to demonstrate that the products they put up for auction at RFH have not been previously auctioned elsewhere.
Amendments have been made in the Articles below
(The text in bold is new):
….9. Offering Products for Auction by Royal FloraHolland that have previously been offered for Auction is not permitted, unless and in so far as these Regulations provide for an exception. 10. A Seller offering Products for Auction other than at Royal FloraHolland shall be required to demonstrate that the principle outlined in paragraph 9 above has been guaranteed, in the absence of which Royal FloraHolland shall be entitled to exclude all Products from that Seller from Auction at Royal FloraHolland. Royal FloraHolland shall be entitled to conduct (or commission) audits in connection with the above.
1. In the first sentence of this Article, the word “Auction” has been replaced by the words “an Auction”.
The following amendments have been made under the heading “Definitions”:
all equipment and systems such as those that are used by Royal FloraHolland in connection with Auctioning;
Auctioninga method of selling Products that is also observable by parties other than the Seller and the Buyer, such as by means of a reverse auction (via an auction clock), by means of a forward auction, or by means of a comparable method, in which in principle, no negotiations take place between the Seller and the Buyer;
In a number of Articles, the word “Auctioning” has been replaced by the phrases “Auctioning by Royal FloraHolland” or “Auctioning at Royal FloraHolland”. This concerns the title of Article 20, Article 20 paragraph 6 and paragraph 7, Article 21 paragraph 5, Definitions (Re-auctioning).
In a number of Articles, the word 'Clock' has been replaced by 'Clock of Royal FloraHolland'. This concerns Article 7 paragraph 4 and paragraph 5, Article 9 paragraph 4 and paragraph 6, Definitions (Delivery Form, Delivery, Supply Excess, Supply Regulation, Card number).