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Auction Agreement for Ecuador

Bidding Instructions and Pricing 
Ecuador Cup of Excellence Internet Auction

The 2022 Cup of Excellence Internet Auction is sponsored by The Alliance for Coffee Excellence,
Inc. (ACE) and ACEDE If assistance is required during the auction please contact
darrin@cupofexcellence.org, kathia@cupofexcellence.org or carlos@cupofexcellence.org

Acceptance of Terms and Conditions
Your participation in this auction indicates your review and agreement to the following terms.
Should you purchase any Cup of Excellence coffee at this auction you agree to the terms and
conditions of purchase and shipping included in this agreement. Any buyer of any Cup of
Excellence coffee through the auction or through a secondary channel agrees to the use and
restrictions of the Cup of Excellence® mark. Any misuse of this mark may be cause for legal
proceedings. It is the responsibility of the bidder to determine quality and appropriate value.
Bidders should assess the value of each coffee based on quality in the cup and its
appropriateness for their company. Farm information is for educational purposes only but can
be used to help sell the winning coffees.
Auction Opening Date and Times
Auction will open for bidding on December 14th at 9:00AM (New York)
Your opening time may vary- please check based on 9:00AM EDT (New York)
The Auction will open for bidding at
● 06:00 (Los Angeles)
● 09:00 (New York)
● 14:00 (London)
● 15:00 (UTC Oslo/Amsterdam)
● 17:00 (Moscow)
● 18:00 (Dubai)
● 22:00 (Hong Kong)
● 23:00 (Tokyo/Seoul)
● 01:00 (Melbourne/Sydney) December 15th

Coffee Lots
The 18 coffee lots being offered for sale through this internet auction were designated Cup of
Excellence (COE) winners at the 2022 Ecuador competition. The designated coffees were blindly
cupped through the following process:
Preselection stage: September 05th to September 09th with the 10 National Judges, at Universidad
UDLA, with Scott Conary as the head judge.
National stage: September 12th – September 23rd with the 10 National Judges at Universidad
UDLA, with Scott Conary as the head judge.
International stage: The designated coffees were blindly cupped throughout the month of
October, 2022 by a panel of COE experienced cuppers designated by ACE in 8 Global Coffee
Centers (GCC) around the world.
No other coffee can be sold using this designation. Online bidding for any Cup of Excellence lots
is only available through this website. Each lot is separate and distinct. The top 2 lots scoring
90+ points have already been separated into 2 distinct lots labeled A and B. Samples have been
made available.

Auction Pricing
Pricing for the lots are figured in USD dollars and cents per pound. A minimum opening price of:
● $6.00/lb for coffee with a score between 87-87.99
● $6.50/lb for coffee with a score between 88-89.99
● $7.50/lb for coffee with a score 90+.
For each lot has been set by ACEDE as representative of the winning farmers. All opening bids
on all lots must be $6.00 USD or any amount greater. Incremental bids must be $.10 (ten cents)
per pound or any amount greater than $.10 (ten cents) per pound.
Bidding, 

Opening and Closing
All lots will open together with the same minimum price. The bidding page will indicate “OPEN”
until all lots have at least one bid after which a 3-minute countdown clock will begin. A bidder
may place multiple or single bids on any or all lots during the open auction or during the 3-
minute countdown clock. Each bid on any lot resets the clock to 3 minutes. A clock on the
bidding page will indicate the time remaining for the auction. Once there are no more bids on
any lot during the 3-minute time window the auction and all lots will close for bidding. A
PENDING notification does not end the auction even though bidding may cease. No bid is final
until the FINISHED notification appears. Once the auction software indicates FINISHED the
highest bid wins the lot and all lots are closed for any additional bidding. At the conclusion of
the auction, the buyer for the lot and the person responsible for payment and for shipping
coordination will be the bidder placing the highest bid or auto bid for that lot. Should there be
two identical auto bids the first auto bid placed wins the lot.

Proxy and Auto Bids
An auto-bid or proxy feature is available to any bidder wishing to allow the software to place
their next highest bid. A bidder can place a high bid on any coffee lot using the auto-bid
function. The software will then place a ten cent higher bid above a competitive bid until the
auto bid price is reached. The software will not place any higher auto-bid amount unless there is
a competitive bid for that lot. Each Bidder will be able to view the current high bid for a Lot at
any time during the Auction. Individual bids once accepted by the auction software, may not be
revoked or withdrawn. Buyers are fully responsible for the bids placed and must comply and
accept their set purchased price during the auction should they result winners of the lot.
However, you may cancel an auto-bid to prevent the system from placing further bids on your
behalf.

Packing Fee
All Cup of Excellence coffees are vacuum packed in cartons each containing 2 (two) 15kg bags.
Successful bidders will be charged $0.20 (twenty cents) per pound mandatory fee for vacuum
packing. Bidding calculations and vacuum packing fee are based on actual pounds after milling
and packing the coffees. The number of 30kg boxes as well as the weight in pounds will be
shown.

Communication During and After Auction
Each Bidder will log in using his/her confidential password. All bids will be identified during the
auction with a bidding number not a company name. During the auction the software will
communicate any outbids, any auction issues, notifications or final successful bids using the
email address registered for that bidder. It is the bidder’s responsibility to ensure that the
registered email is correct. Contact ACE staff for verification if uncertain.

Posting the Results
30 minutes or earlier after the end of the auction successful bidders will be identified by their
company names. The auction results will be posted on the ACE website. Buying group members
and their company identification is the responsibility of the actual bidder. Buyers can also be
added at a later date.

Payment and Shipping Requirements for Ecuador Cup of Excellence Internet Auction

The 2022 Cup of Excellence Internet Auction is sponsored by The Alliance for Coffee Excellence,
Inc. (ACE) and Asociación de Cafés Especiales del Ecuador (ACEDE). If assistance is required
immediately following the auction please contact darrin@cupofexcellence.org,
kathia@cupofexcellence.org or carlos@cupofexcellence.org
Acceptance of Terms and Conditions
Your participation in this auction indicates your review and agreement to the following terms.
Should you purchase any Cup of Excellence coffee at this auction you agree to the terms and
conditions of purchase and shipping included in this agreement. Any buyer of any Cup of
Excellence coffee through the auction or through a secondary channel agrees to the use and
restrictions of the Cup of Excellence® mark. Any misuse of this mark may be cause for legal
proceedings. It is the responsibility of the bidder to determine quality and appropriate value.
Bidders should assess the value of each coffee based on quality in the cup and its
appropriateness for their company. Farm information is for educational purposes only but can
be used to help sell the winning coffees.

Coffee Lots
The 18 coffee lots being offered for sale through this internet auction were designated Cup of
Excellence (COE) winners at the 2022 Ecuador competition. The designated coffees were blindly
cupped through the following process:

Preselection stage: September 05th to September 09th with the 10 National Judges, at Universidad
UDLA, with Scott Conary as the head judge.

National stage: September 12th – September 23rd with 10 National Judges, at Universidad UDLA,
with Scott Conary as the head judge.

International stage: The designated coffees were blindly cupped throughout the month of
October, 2022 by a panel of COE experienced cuppers designated by ACE in 8 Global Coffee
Centers (GCC) around the world.

No other coffee can be sold using this designation. Online bidding for any Cup of Excellence lots
is only available through this website. Each lot is separate and distinct. The top 3 lots scoring
90+ points have already been separated into 2 distinct lots labeled A and B. Samples have been
made available.

Packing Information
Ecuador Cup of Excellence coffees are vacuum packed in cartons each containing 2 (two) 15kg
bags. Successful bidders will be charged $0.20 (twenty cents) per pound mandatory fee for
vacuum packing in addition to the per pound cost of the auction price for each lot. Bidding
calculations and vacuum packing fee are based on actual pounds after milling and packing the
coffees. The number of 30kg boxes as well as the weight in pounds will be shown. A broken seal
on any vacuum package does not automatically warrant a claim or indicate a quality change.

Financial Responsibility and Group Bidding
The individual bidder placing the highest bid at the close of the auction is responsible for the
financial payment to the exporter of the entire lot. Individual bids once accepted by the auction
software, may not be revoked, or withdrawn. The exporter may approve multiple payments
and multiple shipping instructions for a single lot but only if the successful bidder requests the
approval and submits all the shipping instructions within 7 days of the auction. If the exporter
or the country partner denies the request for any reason the bidder will be held liable for the
entire payment regardless of group purchase. If a lot is split and sent to more than one
destination the buyer will be responsible for any additional costs or fees associated with that
export.

In a situation where the farmer is responsible for the payment of the transport, it is expected
the winning bidder will designate a shipping method which will not substantially affect the costs
the farmer is charged within the origin country to deliver the coffee to the shipping facility such
as but not limited to: port, airport, third party designated exporter. The management of the Cup
of Excellence program has the right to seek and provide the winning bidder fair shipping options
considered equative for the selling and buying parties.

The responsibilities of the lead bidder of a buyer group are to review, approve and socialize all
terms and conditions with each member of their buying group. This bidder agreement is only
sent to those registered to bid in the auction, if the members of your buying group are not
registered for the auction the lead bidder is required to share the agreement to get each
member’s approval. It is required that the lead bidder in the auction to collaborate with the
exporter facilitating communication and expediting the payment process if any setbacks are
encountered regarding payment or complications in communicating with other buyers from the
group. Should there be any default from the additional group bidders, the lead bidder must
assume financial responsibility for the defaulted coffee if no interested buyers are found.
If a lot is split between several buyers and sent to more than one destination, all additional
buyers of said lot will be charged with an extra fee per shipment to cover the additional
administrative costs associated with the export depending on the transport mode. The extra fee
will be determined depending on the final destination and will be communicated to the
additional buyer with due anticipation.

Payment Requirements
Full payment of the lot(s)and the packing fee(s) is required prior to shipment unless other
requests are made in writing and approved in advance. Cash against documents must also be
approved in advance of the auction. Prepayment of the lot is required if moved to another
exporter to be shipped. Shipment, quality and delivery responsibility will revert to new exporter.
Full payment is due 30 (thirty) days after the close of the auction regardless of ship date or
method. A minimum 2% monthly late fee may be charged for any lots not paid within 30 days.
All the fees or expenses generate in the bank of the buyer for make the transaction of payment
have to be pay it for the buyer.

Shipping Requirements
Shipping instructions are to be sent to GALLETTI within 7 (seven) days of the close of the
auction by the successful bidder or the bidder’s designated importer. Bidders can nominate any
importer. A COE cooperating importer is recommended. These can be found on the ACE website
at www.allianceforcoffeeexcellence.org

All Lots must be shipped within 45 days of the auction. No claim may be made to the exporter,
farmer, Alliance for Coffee Excellence or ACEDE on any COE lot shipped after 45 days. COE lots
for Ecuador are shipped, TERMS: EXW for Sea shipping FCA* for Air shipping, net weight, and
applicable fees- airfreight is available at an extra cost and can be coordinated by the exporter.
Lots will be shipped as per the instructions and at the cost of the successful bidder. Any changes
that result in extra fees will be paid by the buyer.

THE NOMINATED EXPORTER
Exporter Name: GALLETTI SA
Exporter Address: ULPIANO BECERRA N3-40 Y PANAMERICANA NORTE
COE Coffee Warehouse Address: ULPIANO BECERRA N3-40 Y PANAMERICANA NORTE
Exporter Contact Name: RAFAELA ITURRALDE
Exporter Phone numbers: +5932 2824385 - +5939 979189497
Exporter Email Address: rafelaiturralde92@gmail.com
Copy to: darrin@cupofexcellence.org, gary@cupofexcellence.org, kathia@cupofexcellence.org,
contabilidad@cafegalletti.com
Box Dimensions: 39 cm X 28 cm X 44 cm

All buyers must contact the exporter, coordinators and ACE within 7 days of the close of the
auction. Winning farmers will cover normal EXW costs occurring from warehouse to port, any
additional costs and/or special requests will be charged to buyers. The buyer is responsible for
always keeping the ACE team looped in all communications related to COE with the exporter.
*EXW: The seller is expected to have the goods ready for collection at the agreed place of delivery (commonly the seller's factory, mill, plant or warehouse). FCA: export cleared goods are delivered by the seller to the carrier at the named and defined location mentioned in the contract. In both cases: All export documents are at the responsibility of exporter to provide. The buyer is responsible for clearing the shipment at destination with all involved in the process
(customs/taxes/paperwork/permits)
.
Modification of this Agreement
The Management of the Cup of Excellence program have the right to modify this Agreement
and any policies affecting the website. Any modification is effective immediately upon posting
to the website or distribution via electronic mail. Your continued use of the auction or website
following the notice of any modification shall be deemed your acceptance of the
modification(s).

Indemnification, Claims and Disclaimer
Use of this internet auction and ACE website is at the bidder’s own risk. Bidders agrees not to
hold the Alliance for Coffee Excellence, Ecuador the provider of software, internet services or
telecommunications companies for any consequential, incidental and/or liquidated damages if
any that may result from or is claimed to result from, the bidder’s participation in the auction.
The winning coffees have been selected and scored in blind cuppings. The winning farm and the
specific coffee lot information is submitted by each farmer and is not known to the public until
the winning coffees have been disclosed following the international stage cuppings held by the
chosen panel. ACE assumes the farm information is correct and up to date but is not
responsible should some information change before or after the auction. Bidders should assess
the value of each coffee based on quality in the cup and its appropriateness for their company.
Farm information is for educational purposes only but can be used to help sell the winning
coffees. All quality claims must be made within 15 days of delivery as per the Green Coffee
Association of NYC ruling but no claim can be made on any coffees shipped more than 45 days
after the close of the auction. Should a claim arise, a neutral arbitration panel will be assembled
to assess the claim. Bidding at this auction represents a contract to purchase the coffee. Should
a buyer default on payment legal remedies will be undertaken.

For any quality claims ACE must be contacted directly before any public statements/ posts/
social media articles or any related matters are published to a general audience. A resolution
will be amicably sought after between ACE, in-country partner, buyer and exporter. Any public
statements/ posts/ social media articles or any other general audience published before
contacting ACE will result in a void quality claim process. ACE reserves the right to have the final
resolution in any quality claim.

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