Upset Price Law and Legal Definition

Upset price is the minimum price for which a property or goods can be sold in an auction or public sale. In other words, the upset price is the minimum price of a property (set by a court in a judicial foreclosure) and a property cannot be auctioned below the minimum price by an officer appointed by the court. It constitutes an order to the officer conducting the sale not to accept any bid that falls below a fixed price. In a final decree in a foreclosure sale, an upset price must be sufficient to cover costs and allowances made by the court, any liens in existence, the certificates, and interest of the receiver.