Robert Edwards Auction

[slidekellyslide]

Originally Posted by iggyman

Correct me if I am wrong but Silk Road Equity (aka: Mastro) would send winning lots before payment only to the "Great Guys" in the hobby. If you weren't part of that VIP club, you got nothing until the check cleared. That policy is what bit them in the arse.

Lovely Day...

You'll have to refresh my memory on who the "Great Guys" are in this hobby...The two people who I've heard of who didn't pay for their items, but still received them were not connected to auction companies.

[calvindog]

Mastro had plenty of money to pay consignors regardless of what they claim was the reason for their inability to pay. They just chose not to pay consignors; unless, of course, you had your dogs bark on the phone at them or called the press (or had an ol' friend call on your behalf). Then suddenly the money appeared.

[slidekellyslide]

Originally Posted by calvindog

Mastro had plenty of money to pay consignors regardless of what they claim was the reason for their inability to pay. They just chose not to pay consignors; unless, of course, you had your dogs bark on the phone at them or called the press. Then suddenly the money appeared.

I'm sure that's entirely true...however sending out items that are not yet paid for is IMO not a good business practice.

[calvindog]

I hear you. But Rob seems to do ok. There's just a different level of trust between Rob and the great majority of his customer base. Rob has said that he's been stiffed by like 1 winner in the past few years. Imagine what Legendary, Mastro, Goodwin would claim during the same time period.

[Rob D.]

Originally Posted by calvindog

I hear you. But Rob seems to do ok. There's just a different level of trust between Rob and the great majority of his customer base. Rob has said that he's been stiffed by like 1 winner in the past few years. Imagine what Legendary, Mastro, Goodwin would claim during the same time period.

If you assume that all of the major auction houses draw from the same pool of bidders, it seems strange that REA is rarely plagued by non-paying customers, yet other auctioneers are forced to resell numerous lots in seemingly every auction they hold because of not receiving payments.

[ichieh]

What was the outcome of FBI investigation on Mastro auction. Any charges filed? I know Mastro went out of business, but the executives were able to get out the sinking boat and started Legendary auction.

[benjulmag]

Originally Posted by Rob D.

If you assume that all of the major auction houses draw from the same pool of bidders, it seems strange that REA is rarely plagued by non-paying customers, yet other auctioneers are forced to resell numerous lots in seemingly every auction they hold because of not receiving payments.

If you look at REA's auction results posted on their website, they will show a letter discussing the origins of baseball purportedly written by Henry Chadwick selling for $310,500 (lot 469 in 2004 auction) and a trophy ball of an 1858 Fashion course All-Star game match selling for $498,800 (lot 1 in the 2005 auction). Neither of these items were paid for and they were subsequently sold along with other material at a private auction in February 2009. So apparently the problem of non-paying winning bidders applies to REA as well, and is more widespread than comments on their website would indicate.

[Peter_Spaeth]

If items are not paid for, should auction houses disclose that so that a misleading impression is not created as to prices? For better or worse many of us rely on reported sales as a guide to market value.

[iggyman]

Originally Posted by slidekellyslide

You'll have to refresh my memory on who the "Great Guys" are in this hobby...

Dan,

I guess my definition of who belongs as a "great guy" in the hobby is a little bit more broader then just auction owners. With that said, I have no first-hand knowledge of what is an old discussion and would prefer not to get "calvindog" all riled-up .

I was just trying to draw a distinction between what Mastro might have done to keep a couple of bidders in the fold and what REA does as a matter of customer service.

Lovely Day...