Terms and Conditions

Last Updated: [July, 2026]

Welcome to Horse Power Bids / www.horsepowerbids.in (“The Platform”). These Terms and Conditions constitute a legally binding agreement made between you, whether personally or on behalf of an entity (“you”, “User”, “Bidder”, or “Seller”) and Horse Power Bids (“Company”, “we”, “us”, or “our”), concerning your access to and use of the platform.

1. Nature of the Service (Pure Marketplace Disclaimer)

The Platform is an online, digital auction marketplace dedicated to automotive enthusiasts for buying and selling used or classic cars and motorcycles.

The Platform is not an auctioneer, automobile dealer, or broker. We do not take title, ownership, or physical possession of any vehicle listed.
All transactions, vehicle transfers, and payments of the final sale price are strictly concluded directly between the Buyer and the Seller.
We do not guarantee the structural, mechanical, or legal condition of any vehicle, nor do we verify the accuracy of user-submitted descriptions or vehicle histories.

2. User Eligibility & KYC Compliance

To list a vehicle or place a bid on The Platform, users must satisfy the following legal criteria in compliance with Indian laws:

Age & Capacity: You must be at least 18 years of age and legally capable of entering into a binding contract under the Indian Contract Act, 1872.
KYC Verification: To maintain platform integrity, prevent shill bidding, and satisfy anti-money laundering norms, you must verify your identity. This requires providing a valid Aadhaar Card, PAN Card, and verified Indian mobile number via OTP.
Commercial/Dealer Use: If you are a used vehicle dealer or re-seller, you must declare your status and provide your GSTIN registration details where applicable.

3. Listing Rules & Seller Obligations

When a Seller submits a car or motorcycle for auction:

Exclusivity: The Seller agrees that the vehicle will be listed exclusively on The Platform for the duration of the active auction period. Listing the vehicle simultaneously on other classified sites (e.g., OLX, CarWale) or completing an off-platform sale during this window is a material breach and will incur a penalty fee equal to the platform’s maximum buyer premium.
Accuracy & Disclosure: The Seller must accurately disclose the vehicle's condition, accidental history, meter tampering (if any), current odometer reading, modifications, and any outstanding hypothecation (loans).
Legal Clearances: The Seller warrants that:

They are the registered owner named on the Registration Certificate (RC) or possess absolute legal authority to sell the vehicle.
The vehicle possesses a valid Pollution Under Control (PUC) certificate and active Third-Party Insurance as required by the Motor Vehicles Act, 1988.
The vehicle is free of any active police complaints, theft reports, or unresolved criminal proceedings.

4. Bidding, Financial Holds, and Buyer Fees

Binding Offers: Every bid placed on an active auction is a legally binding commitment to purchase the vehicle at that price. Bids cannot be canceled or retracted under any circumstances.
The Buyer's Premium (Success Fee): Upon placing a bid, a temporary credit/debit card hold or a pre-authorized payment block (via UPI, credit card, or net banking) will be executed for our Buyer’s Premium (e.g., 4.5% of the bid amount, subject to a minimum of ₹5,000 and maximum of ₹4,50,000).
Winning Bidder: If you are the winning bidder at the close of an auction (or if the seller accepts your bid above the reserve price), the payment hold will immediately convert into a non-refundable charge paid to The Platform as our service fee. If you do not win, the hold is released automatically.
GST: Our platform service fees are subject to 18% Goods and Services Tax (GST), which will be charged in addition to the base buyer's premium.

5. Post-Auction Logistics & RTO Transfer Protocol

Once an auction is successfully concluded, The Platform will introduce the Buyer and Seller. The completion of the transaction is the sole responsibility of the two parties.

The 48-Hour Communication Window: Both parties must establish contact within 48 hours to coordinate vehicle inspection, final payment, and paperwork.
Vehicle Transfer Forms: The Seller is legally required to hand over, and the Buyer is required to sign, the statutory RTO transfer documents:
- Form 29 (Notice of transfer of ownership)
- Form 30 (Application for intimation and transfer of ownership)
- Form 35 (If clear NOC from the financier/bank is required to remove hypothecation)
Out-of-State Transfers (NOC): If the vehicle is being transferred to a different state, the Seller is responsible for obtaining the No Objection Certificate (NOC) from their local RTO. Any state-specific road taxes, re-registration fees, or green taxes in the new state are strictly borne by the Buyer unless otherwise agreed.
Delivery & Risks: Possession and risks associated with the vehicle pass from Seller to Buyer only after the delivery of a signed Delivery Receipt alongside the vehicle keys, physical RC, and signed RTO forms.

6. Non-Performance, Default, and Penalties

Buyer Default: If the winning bidder fails to pay the Seller the final agreed price or vanishes post-auction, their Buyer’s Premium is permanently forfeited to The Platform. Furthermore, the user account will be permanently banned.
Seller Default: If a Seller refuses to sell the vehicle at the winning bid amount (at or above their designated reserve price), The Platform reserves the right to charge the Seller a flat cancellation/default fee equivalent to the lost buyer's premium, and terminate their access to the platform.
Shill Bidding: Any attempt by a Seller, their family members, or associates to bid on their own listing to artificially inflate the price is strictly prohibited. The Platform utilizes algorithmic tracking to detect this; violators will face immediate listing cancellation and a permanent platform ban.

7. Limitation of Liability & Indemnity

"As-Is, Where-Is": All vehicles are purchased on an "as-is, where-is" basis. The Platform explicitly disclaims any liability for hidden mechanical failures, structural damage, unrecorded accidents, chassis number tampering, or subsequent RTO transfer rejections.
IT Act Exemption: As an intermediary under Section 79 of the Information Technology Act, 2000, The Platform is not liable for any third-party user-generated content, images, comments, or vehicle descriptions uploaded to the site.
Indemnity: You agree to indemnify and hold harmless The Platform, its directors, and employees against any legal claims, losses, RTO penalties, or disputes arising out of your breach of these terms, fraudulent vehicle misrepresentation, or failure to complete ownership transfer.

8. Governing Law and Jurisdiction

These Terms and Conditions shall be governed by and construed in accordance with the laws of India. Any legal disputes, claims, or proceedings arising out of the use of the platform or an auction transaction shall be subject to the exclusive jurisdiction of the courts located in Mumbai, India.