Reserve Auction: an auction in which the seller or an agent of the seller
reserves the right to establish a stated minimum bid, the right to reject or
accept any or all bids, or the right to withdraw the real or personal property at
any time prior to the completion of the auction by the auctioneer.


Absolute Auction: an auction of real or personal property to which all of the
following apply:
1.The property is sold to the highest bidder without reserve;
2. The auction does not require a minimum bid;
3. The auction does not require competing bids of any type by the seller          
or an agent of the seller; and
4. The seller of the property cannot withdraw the property from auction            
after the auction is opened and there is public solicitation or calling for             
bids.

Under SB 209, an absolute auction cannot be held unless all of the
following apply:
1. The seller has a bona fide intention to transfer ownership of the                    
property to the highest bidder regardless of the amount of the highest bid;
2. The auction contract requires that the auction be conducted as an                
absolute auction, specifies that the auction is not a reserve auction, and          
prohibits the seller or anyone acting on behalf of the seller to bid or                  
participate in the bidding process of the auction; and
3. One of the following applies:
A. Except for current tax obligations, easements, or restrictions of                     
record of the seller, there are no liens or encumbrances on the                         
property in favor of any other person;
B. Every holder of a lien or encumbrance agrees in writing to the                      
absolute auction without regard to the amount to the highest bid or                   
to the identity of the highest bidder; or
C. A financially sound person, firm, trust, or estate, by execution of                   
the auction contract or other written agreement provided to the                         
auctioneer, guarantees the complete discharge and satisfaction of                    
all liens and encumbrances, immediately after the absolute auction                   
or at the closing without regard to the amount of the highest bid or                    
to the identity of the highest bidder.
8. If the sale is at absolute auction, the seller of the (real) or (personal)             
property has a bona fide intention to transfer ownership of the property            
to the highest bidder.
Types of Auctions
Reserve Auction * Absolute Auction * On-Site Auction
Jerry T. Hall
Auctioneer
Realtor
1-440-476-7269
Thomas R. Hall
Auctioneer
1-440-476-7426
On-Site Auction:  an auction that takes place on the property where the
items are currently stored.