CHAPTER 227

THE AUCTIONEERS ACT

[PRINCIPAL LEGISLATION]

ARRANGEMENT OF SECTIONS

Section

Title

PART I

PRELIMINARY PROVISIONS

1. Short title.

2. Interpretation.

3. Business of auctioneer.

PART II

LICENCES

4. Auctioneer to be licensed.

5. Kinds of licences and where general licences may be required.

6. Licensing Authority.

7. Power to refuse to issue a licence subject to appeal to the President.

8. Form of licences.

9. Expiration of licences.

10. Fees.
 11. Register of persons licensed.

PART III

RESPECTING SALES

12. Auctioneers to accept the sale of all property offered by owners.

13. Auctioneer's licence not to authorise sale of intoxicating liquor or of

anything for the sale of which a licence is required.

14. Information to be given to police officer upon request.

15. Auctioneer's name and address to be published at sale.

16. Licence to be produced on demand during the holding of an auction.

17. Sales in general and consequences of sale transactions.

18. Recovery of purchase money and payment by auctioneer.

19. Order of suspension or revocation of licence.

20. Auctioneer's licence not necessary for sale by auction in certain cases.

21. Power to make rules.

SCHEDULES

CHAPTER 227

THE AUCTIONEERS ACT

An Act relating to auctioneers.

[22nd June, 1928]

20 of 1928

5 of 1930

Cap. 282

[R.L. Cap. 227]

Act No. 16 of 1994

PART I

PRELIMINARY PROVISIONS (ss 1-3)

[PCh227s1]1. Short title

This Act may be cited as the Auctioneers Act.

[PCh227s2]2. Interpretation Ord. No. 5 of 1930 s. 2

In this Act, unless the context otherwise requires–

"auctioneer" includes every person selling by auction;

"itinerant auctioneer" means a person who is without any fixed place of business

and who satisfies the District Officer that he sells or offers for sale movable property of

local manufacture or not exceeding one hundred shillings in value;

"owner" includes any person lawfully entitled to sell any property.

[PCh227s3]3. Business of auctioneer

Every person who sells or offers for sale any movable or immovable property or

any interest therein at any sale where any person becomes or may become the purchaser of

the same by competition and being the highest bidder, either by being the sole bidder, or
increasing upon the biddings made by others, or decreasing on sums named by the

auctioneer or person acting as an auctioneer or other person at such sale, or by any other

mode of sale by competition shall be deemed to carry on the business of an auctioneer.

PART II

LICENCES (ss 4-11)

[PCh227s4]4. Auctioneer to be licensed Ord. No. 5 of 1930 s. 3

(1) Except as hereinafter provided, no person other than an itinerant auctioneer

shall carry on the business of an auctioneer without being licensed to do so under this Act

and no person shall carry on any such business otherwise than in accordance with the

terms and conditions of his licence.

(2) Any person who contravenes the provisions of this section shall be liable to a

fine not exceeding fifteen hundred shillings.

[PCh227s5]5. Kinds of licences and where general licences may be required

(1) Licences shall be of two kinds, namely–

(a) a general licence which shall authorise the licensee to carry on the business

of an auctioneer anywhere in Tanzania;

(b) a local licence which shall authorise the licensee to carry on the business of

an auctioneer only within the district named in the licence.

(2) The President may order that in any specified district or part of a district no

person shall carry on the business of an auctioneer unless he holds a general licence.

[PCh227s6]6. Licensing Authority Cap. 282 s. 7

issue of licences under this Act and all applications for licences shall be made to him

through the District Officer of the district in which the applicant resides or has or intends

to establish his principal place of business or by the revenue officer stationed in such

district.

[PCh227s7]7. Power to refuse to issue a licence subject to appeal to the President

The Licensing Authority may refuse to issue any licence at his discretion and

without assigning any reason, provided that any person to whom a licence has been

refused may appeal to the President who may direct the Licensing Authority to issue a

licence to such person.

[PCh227s8]8. Form of licences

Licences shall be in one of the forms in the First Schedule, or to the like effect, or

in such other form as the President may by rule prescribe.

[PCh227s9]9. Expiration of licences

Unless previously revoked in accordance with the provisions of this Act, annual

licences shall expire on the 31st day of December in each year and half-yearly licences

shall expire on the 30th day of June or the 31st day of December next following the date

of issue.

[PCh227s10]10. Fees

The fees specified in the Second Schedule shall be payable for licences under this

Act, provided that the President may from time to time vary such fees in such manner as

he may think fit.

The Licensing Authority shall keep a register of all persons to whom licences are

issued by him under this Act.

PART III

RESPECTING SALES (ss 12-21)

[PCh227s12]12. Auctioneers to accept the sale of all property offered by owners

(1) Every licensed auctioneer shall, on the requisition of the owner thereof, accept

the sale of all property which he is not prohibited by law from selling, which may be

offered to him for sale in the town or at the place where he carries on his ordinary business

as an auctioneer, and shall sell the property within such time as the owner may require, or

as soon thereafter as is possible, having regard to the sale of other property with which he

has been entrusted, but he shall not be bound to sell any property sooner than seven days

after he shall have accepted the sale thereof.

(2) No sale by auction of any land shall take place until after at least fourteen days

public notice thereof has been given at the principal town of the district in which the land

is situated and also at the place of the intended sale.

(3) The notice shall be given not only by printed or written document but also by

such other method intelligible to uneducated persons as may be prescribed and it shall be

expressed in Kiswahili as well as English and shall state the name and place of residence of

the owner.

(4) Nothing herein shall be held to restrict any auctioneer from selling at the same

sale the property of more than one owner, provided that the goods are lotted
consecutively and in such manner that no owner's goods may become mixed with the

goods of any other owner.

[PCh227s13]13. Auctioneer's licence not to authorise sale of intoxicating liquor or

of anything for the sale of which a licence is required

(1) No auctioneer's licence shall authorise any person to sell any intoxicating liquor

in contravention of any law relating to the sale of such liquor.

(2) Except as may be otherwise provided liquor by law, no auctioneer's licence

shall authorise any person to deal in or sell, either on account of or for the benefit, of

himself or of any other person, anything, the dealing in, or sale of, which by persons other

than those duly licensed, registered or otherwise authorised in that behalf is prohibited.

[PCh227s14]14. Information to be given to police officer upon request

(1) Every licensed auctioneer shall, where a police officer requests–

(a) permit that police officer to inspect any article entrusted to that licensed

auctioneer; and

(b) give all information in his possession in regard to any article offered to him

for sale he shall not have received; and

(c) disclose the name and address of the person from whom that licensed

auctioneer received the article or by whom the article was offered to that licensed

auctioneer.

(2) Any licensed auctioneer who–

(a) neglects or refuses to comply with any requirement by a police officer

under this section;

this section;

(c) without the previous permission of a police officer–

(i) conceals or alters the appearance of any article with respect to

which any request is made to that licensed auctioneer under this section; or

(ii) causes the article to be concealed or altered in appearance,

commits an offence and is liable upon conviction to a fine not exceeding five hundred

shillings, or to imprisonment for a period not exceeding six months or to both such fine

and imprisonment.

[PCh227s15]15. Auctioneer's name and address to be published at sale

(1) Every licensed auctioneer, before beginning any auction, shall display and

during the whole time of such auction keep displayed in some conspicuous part of the

room or place where the auction is held, a ticket or board containing his true and full name

and residence painted, printed or written in large letters, publicly visible and legible.

(2) If any auctioneer fails to comply with this section, commits an offence and is

liable upon conviction for every such offence to a fine not exceeding one hundred and fifty

shillings.

[PCh227s16]16. Licence to be produced on demand during the holding of an auction

(1) At any time during the holding of an auction the auctioneer shall, if so required

by a police officer, or by a District Officer, or by any person authorised in writing by a

District Officer, produce to such police officer, District Officer or person authorised as
aforesaid, the licence granted to such auctioneer under this Act and authorising him to

conduct such auction.

(2) If any person holding an auction fails to produce his licence when so required

as aforesaid, commits an offence and is liable upon conviction to a fine not exceeding one

hundred shillings, without prejudice to the recovery or imposition of any penalty to which

he may otherwise be liable for acting as an auctioneer without a licence or contrary to the

terms of his licence.

[PCh227s17]17. Sales in general and consequences of sale transactions

(1) It shall be stated in the particulars or conditions of sale by auction of any

movable or immovable property whether such sale be without reserve or subject to a

reserve price, or whether a right to bid is reserved.

(2) If it is stated that the sale be without reserve or to that effect, it shall not be

lawful for the owner or any person on his behalf or employed by him to bid at such sale, or

for the auctioneer to take knowingly any such bidding.

(3) If it is stated that the sale will be subject to a reserve price as regards any one

or more lots, it shall be lawful for the owner or any person employed by him to give one

bid for each such lot and no more.

(4) If it is stated that the sale will be subject to a right for the owner to bid, it shall

be lawful for the owner, or for any one person on his behalf, but not more than one, to bid

at such auction in such manner as he shall think proper.

(5) If the owner or any person employed by him or on his behalf bids at any sale

contrary to any of the preceding provisions of this section, any purchaser may refuse to
fulfil his purchase, but the highest bona fide bidder shall be entitled, if he so elects to have

the immovable or movable property at the price offered by that highest bona fide bidder.

(6) No auctioneer shall make a bid either on behalf of himself or as agent for any

other person unless on making such bid he announces that it is his bid.

(7) Any auctioneer who knowingly receives or makes any bid contrary to any of

the provisions of this section commits an offence, and is liable upon conviction to a fine

not exceeding one thousand five hundred shillings.

[PCh227s18]18. Recovery of purchase money and payment by auctioneer

(1) The auctioneer making any sale by auction shall, unless it be agreed otherwise

between him and the seller, be entitled to sue for, recover, and discharge all sums due in

respect of such sale.

(2) The auctioneer shall, unless it be agreed otherwise between him and the seller,

be liable for the due payment to the seller of the net proceeds of all sales of property

within ten days from the time of sale of such property.

[PCh227s19]19. Order of suspension or revocation of licence

(1) The court imposing any fine under this Act upon any auctioneer or convicting

any auctioneer of any offence in relation to any offence in relation to any property

entrusted to him for sale or in relation to the proceeds of the sale of such property may, if

it appears that the offence is of such nature as to require the licence of such auctioneer to

be suspended or revoked, make an order to that effect, and the licence shall be suspended

or revoked accordingly.
 (2) The court making any order of suspension or revocation of a licence shall

forthwith intimate the fact to the licensing authority who shall have issued such licence.

[PCh227s20]20. Auctioneer's licence not necessary for sale by auction in certain

cases

It shall not be necessary for any person selling any movable or immovable property

by auction to take out a licence as required by this Act in the following cases–

(a) any officer of a court selling any property under an order or process of

court;

(b) any pound-master or pound-keeper selling any animal which has been

impounded;

(c) any officer in the service of the Government selling any property in

accordance with any law or selling unclaimed property in the custody of any department of

the Government;

(d) any person selling any article in any market established under any law in

force and relating to markets when required so to do by any such law or by rules made

under any such law or when authorised by any authority acting under any such law; or

(e) any person selling his own property or any officer of the Government

selling the property of the Government.

[PCh227s21]21. Power to make rules

(1) The President may make rules for any of the following purposes–
 (a) requiring that an applicant for a licence under this Act shall give security

for the faithful discharge of his duties, and prescribing the amount of the security to be

required and the form in which security may be accepted;

(b) prescribing the maximum rate of commission which an auctioneer shall be

entitled to demand, recover, or retain as remuneration for his services and providing that

any agreement to pay or allow any higher rate than is prescribed shall not be binding;

(c) requiring records to be kept by auctioneers relating to property entrusted

or offered to them for sale, prescribing the form of such records and the particulars therein

and the terms and conditions on which they shall be open to inspection by persons

authorised by such rules;

(d) varying the forms of licences specified in the First Schedule;

(e) varying the fees for licences specified in the Second Schedule;

(f) prescribing the particulars to be entered in the registers of licences issued

under this Act and requiring the publication of particulars;

(g) prescribing anything which this Act requires or enables to be prescribed;

(h) generally for the better carrying into effect the purposes of this Act.

(2) Rules made under this section may prescribe a penalty for the breach thereof

which may extend to seven hundred and fifty shillings in respect of the breach of any rule,

and may provide that in the case of a breach of any rule by a person licensed under this

Act, his licence may be suspended or revoked.

(3) Rules made under this section shall come into operation upon the publication in

the Gazette, or at such time thereafter as the rules shall declare.

subsection (1) of this section shall come into operation until the rule has been published

and has been submitted to the National Assembly and approved by the majority of the

members present.

(5) A recital in any such rule that, that rule has been published, submitted and

approved in accordance with paragraph (a) of this subsection shall be sufficient that the

requirements of this subsection have been complied with, unless the contrary is proved.

FIRST SCHEDULE

(Section 8)

FORMS OF LICENCES

FORM A

AUCTIONEER'S GENERAL LICENCE

THE AUCTIONEERS ACT (CAP. 227)

Licence is hereby granted to ....................... of ................. to carry on the business

of an auctioneer in Tanzania until the ............... day of ................... 20........, subject to

the provisions of the Auctioneers Act.

Dated at .................... this ..................... day of .................... 20........

Fee paid ....................... shillings.

............... .....................................

Signature of Licensing Authority

FORM B

AUCTIONEER'S LOCAL LICENCE

THE AUCTIONEERS ACT (CAP. 227)

Licence is hereby granted to ..................... of ............... to carry on the business of

an auctioneer in the District of ................... until the ............... day of ................. 20........,

subject to the provisions of the Auctioneers Act.

Dated at .................................... this ....................... day of ................... 20........

Fee paid ....................................................... shillings.

........ ..........................................

Signature of Licensing Authority

Note: This licence expires on the .............................. day of ........................... 20........

SECOND SCHEDULE

FEES PAYABLE FOR LICENCES Acts Nos. 12 of 1972 Sch.; 16 of 1994 s. 13

(Section 10)

[Omitted: Subject to variation.]