Which of the following is not true about auctions?
A) Unless an auction is advertised as being without reserve, the sale is with reserve.
B) If the auctioneer knowingly receives a bid on behalf of the seller and notice has not been given that the seller reserves the right to bid at the sale, the bidder to whom the goods are sold can avoid the sale.
C) The UCC provides that if an auction sale is advertised or announced in explicit terms to be with reserve, the auctioneer may not withdraw the article put up for sale unless no bid is made within a reasonable time.
D) Whether an auction is with or without reserve, a bidder may retract his bid at any time prior to acceptance by the auctioneer.

Question

Quizplus · Accepted Answer

The correct statement is that in an auction with reserve, the auctioneer can withdraw the goods at any time before announcing completion of the sale if the reserve price is not met. The provided statement under C incorrectly suggests that withdrawal is only allowed if no bid is made within a reasonable time, which is not accurate according to the UCC.

Which of the Following Is Not True About Auctions