During an auction, the auctioneer makes a bid on the vendor's behalf. What is this called, and when is it lawful?
Correct Answer
B) Vendor bidding, lawful if the right was disclosed and the bid is announced.
A vendor bid is a bid made by the auctioneer on the vendor's behalf. It is lawful where the conditions of auction disclose the vendor's right to bid and the auctioneer announces the bid as a vendor bid when making it. In NSW and Victoria only the auctioneer may make a vendor bid; the vendor bidding personally, or getting someone else to bid for them, is illegal.
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