Auction House Conflict of Interest

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Posted By: barrysloate

Aaron- I hear what you are saying and rest assured I am painfully aware of the pressures of getting high prices for consignors. And I am not denying that funny stuff goes on.

But let me play devil's advocate for a minute. A lot is sitting at $1000 and an auction house decides that is not high enough. So they place a bid of $1100 and that is where the lot stops.

Now they have just purchased a lot that they probably don't want. What do they do with it?

Or a variation on that theme: the employee has his own collection and is willing to add that piece to it for $1100, so he places the bid and wins it. How great a transgression is it if he bid in good faith?

Please understand I deplore shilling but as an auctioneer I recognize other sides to every story.