About the Auction

Based on an actual email between a client and their attorney. Interested parties should consult with legal counsel ASAP to start the process. 

• Will you please provide a detailed timeline with all pertinent dates related to the auction, including (but not excluded to) open period for registering for the auction, placing bids, close of the auction. A. The auction date has been set for Wednesday September 7, 2022. Prior to this date, any interested bidder must have consigned the 10% sum with the National Bank. The bidding starts at 8:00 a.m.(EST) until 4:00 p.m.(EST), at which time the highest bidder will be awarded the property. The bidder must have completed the 10% consignation by Tuesday September 6, 2022.   
• What are all steps and conditions required of them to participate? A. A deposit in cash for 10% of the base price has to be consigned with the Court’s account at the National Bank, which will issue a judicial deposit. Base price has been set at US$4,500,000. So we are looking at US$450,000. The total offered sum has to be paid within 2 days, except as otherwise agreed with all parties.  This entails having available funds in Panama to pay all sellers, starting with the 10% that goes to the National Bank Court account. This may also involve setting up a local entity, such as a S.R.L. or S.A. to appear as bidder; if awarded, the entity would then formalize the purchase closing. The 10% is allocated to the purchase price. If the bidder fails to pay within the 2 days or term agreed with the parties, they will lose this sum. If the bidder does not win, the Court will return the deposit.  
• Does anyone have priority over others in the auction?  A. No. 
• Can buyers be from any country/place?  A. Yes.  We do recommend they have an entity and local account set up beforehand. 
• What would be the simplest and most secure method for buyers to participate in the auction? A. Set up a local entity (e.g. corporation) to participate in the bid. Open a bank account with the local correspondent bank to organize payment. In the alternate, deposit the funds with a locally licensed trustee to handle the 10% consignment + payment if awarded, on behalf of the local entity.