Auction Sale Law and Legal Definition
A sale by auction is a public sale where various intending buyers offer bids for the goods and try to outbid each other. Ultimately, the goods are sold to the highest bidder. An auction sale is complete when the auctioneer announces its completion by the fall of the hammer or in other customary manner. The property in the goods thus passes on the fall of the hammer; until the fall of the hammer the bidder has the right to revoke his/her bid. The auctioneer is, generally not the seller but, the agent of the real owner of the goods. Auctioneer is engaged to conduct the auction and his/her relationship with the seller is governed by the law of agency.