Study On The Exemption Of Warranty Liability For Defects In Auction Platforms

With the rapid development of Internet,artificial intelligence,blockchain,Internet of Things and other technologies,the advent of the digital economy era,the channels and ways of arbitrary auction are diversified,the rise of online auction,Taobao,Jingdong and other major platforms have launched their own auction platforms to seize the market.Carrying out auction activities through auction platform has become a new auction method,which provides a convenient and efficient trading place for all parties of the auction legal relationship and makes the auction market more active.The clause of defect guarantee exemption in article 61 of Auction Law of the People’s Republic of China is the most common clause in auction,and also the most controversial clause in Chinese auction contract disputes.In judicial practice,relevant disputes such as the application of exemption clause of liability for guarantee against defects account for a relatively high proportion in auction contract disputes.In the emerging auction platform with Internet elements,the judicial application of exemption clause of liability for guarantee against defects presents a new dilemma: The exemption of liability for guarantee of defects of auctioneers can be established by means of auction platform rules and user agreement,while the rights and obligations of auction platform,consignor and bidder in the rules and user agreement of auction platform are all formulated by the auction platform unilaterally.In the face of auction platform with large amount of trading information and strong trading position,If the consignor or bidder wants to use the auction platform,they can only choose to accept the platform rules and user agreement made by the auction platform unilaterally.In addition,the scope of exemption of liability for guarantee of defects is also arbitrarily expanded.In fact,the scope of defect disclaimer stipulated in the Auction Law is limited to the "authenticity and quality" of auction objects.However,in practice,auction platforms often express in the disclaimer that the statement and description of auction objects on the auction platform are for reference only.It does not represent the guarantee made by the auction platform for the authenticity,legality,value and defect of the auction target,so as to avoid the liability for defect guarantee and achieve the purpose of maximizing the exemption from its own liability.The auction platform’s unreasonable use and abuse of the exemption clause of liability for guarantee of defects makes the obligation of informing of defects and reasonable review of the auction platform quietly weakened or even exempted,leading to a series of problems such as increased risk of loss of interests of buyers,disorder of auction market order,chaotic application of judicial practice,and breaking of the traditional principle of good faith.By comparing the differences between the traditional auction method and the emerging auction method with Internet elements,this paper further clarifies the liability for guarantee of defects that the emerging auction platform should undertake,and discusses the legislative purpose of the liability for guarantee of defects of auction platform and the exemption clause,as well as the value conflict between them.The research on the exemption of liability for warranty of defects has the necessity of both theory and practice.Through case analysis,this paper sorts out the differences in the identification of the exemption of liability for guarantee of defects in judicial cases of different auction objects,such as vehicles,real estate and works of art,so as to explore the causes behind them on the basis of problem summary.The specific problems in judicial practice are mainly embodied in the abuse of disclaimer on auction platform,the obvious difference in judicial results of similar cases and the deepening of the buyer’s weak trading position.Further analysis shows that the disclaimers of different auction platforms are not uniform in content and form,and it is always difficult for the court to subjectively identify the defects concealment of auction platforms.Moreover,the specific identification usually fails to fully consider the particularity of different types of auction items in application.From the perspective of norms,the obligation of notification of defects and reasonable review of the auction platform are not specific,and the limitation and invalidity of the disclaimer are not clear,which leads to the auction platform being idle in performing its obligations,thus causing the interests of buyers to be damaged.In this regard,in order to further regulate auction activities and safeguard the interests of all parties involved in auction,specific provisions on the exemption clause of guarantee liability for defects of auction platform in the Auction Law should be further clarified,and the obligation to inform and reasonably review the defects of auction platform should be strengthened.In terms of burden of proof,the subjective identification criteria for the defect concealment of auction platform should be established,and the subjective fault of buyers to prove the existence of defect concealment of auction platform should be transformed into the proof of auction platform.In addition,the retention of the exemption clause of liability for guarantee of defects should be made clear,that is,the effect of the declaration of exemption of liability for guarantee of defects of the auction platform shall be invalid if the auction platform fails to fulfill the obligation of informing and reviewing,leading to the inability of the buyer to achieve the purpose of the contract.Finally,strengthen the governance of the auction platform,guide the industry autonomy,and further regulate the auction market and auction activities.Through the above analysis,it is expected to provide an optimal path for the judicial application of the exemption clause of liability for guarantee of defects on auction platform.