Click Here to Add a Title
Click Here to Add a Title
Click this text to start editing. This block is great for showcasing a particular feature or aspect of your business. It could be a signature product, an image of your entire staff, an image or your physical location, etc. Double click the image to customize it.
Conduct of an Auction
Conduct of an Auction
468.388 Conduct of an auction.—
(1) Prior to conducting an auction in this state, an auctioneer or auction business shall
execute a written agreement with the owner, or the agent of the owner, of any property to be
offered for sale, stating:
(a) The name and address of the owner of the property;
(b) The name and address of the person employing the auctioneer or auction business, if
different from the owner; and
(c) The terms or conditions upon which the auctioneer or auction business will receive the
property for sale and remit the sales proceeds to the owner.
(2) The auctioneer or auction business shall give the owner one copy of the agreement and
shall keep one copy for 2 years after the date of the auction.
(3) Each auctioneer or auction business shall maintain a record book of all sales. The record
book shall be open to inspection by the board at reasonable times.
(4) Each auction must be conducted by an auctioneer who has an active license or by an
apprentice who has an active apprentice auctioneer license and who has received prior written
sponsor consent. Each auction must be conducted under the auspices of a licensed auction
business. Any auctioneer or apprentice auctioneer conducting an auction, and any auction
business under whose auspices such auction is held, shall be responsible for determining that any
auctioneer, apprentice, or auction business with whom they are associated in conducting such
auction has an active Florida auctioneer, apprentice, or auction business license.
(5) The principal auctioneer shall prominently display at the auction site the licenses of the
principal auctioneer, the auction business, and any other licensed auctioneers or apprentices who
are actively participating in the auction. If such a display is not practicable, then an oral
announcement at the beginning of the auction or a prominent written announcement that
these licenses are available for inspection at the auction site must be made.
(6) The premium or surcharge must be announced at the beginning of the auction and a written notice
of this information must be conspicuously displayed or distributed to the public at the auction
(7) At the beginning of an auction must be announced the terms of bidding and sale and
whether the sale is with reserve, without reserve, or absolute or if a minimum bid is required. If
the sale is absolute and has been announced or advertised as such, an article or lot may not be
withdrawn from sale once a bid has been accepted. If no bid is received within a reasonable time,
the item or lot may be withdrawn.
(8) If an auction has been advertised as absolute, no bid shall be accepted from the owner of
the property or from someone acting on behalf of the owner unless the right to bid is specifically
permitted by law.
(9) The auction business under which the auction is conducted is responsible for all other
aspects of the auction as required by board rule. The auction business may delegate in whole, or
in part, different aspects of the auction only to the extent that such delegation is permitted by law
and that such delegation will not impede the principal auctioneer’s ability to ensure the proper
conduct of his or her independent responsibility for the auction. The auction business under
whose auspices the auction is conducted is responsible for ensuring compliance as required by
(10)(a) When settlement is not made immediately after an auction, all sale proceeds received
for another person must be deposited in an escrow or trust account in an insured bank or savings
and loan association located in this state within 2 working days after the auction. A maximum of
$100 may be kept in the escrow account for administrative purposes.
(b) Each auction business shall maintain, for not less than 2 years, a separate ledger showing
the funds held for another person deposited and disbursed by the auction business for each
auction. The escrow or trust account must be reconciled monthly with the bank statement. A
signed and dated record shall be maintained for a 2-year period and be available for inspection
by the department or at the request of the board.
(c) Any interest which accrues to sale proceeds on deposit shall be the property of the seller
for whom the funds were received unless the parties have agreed otherwise by written agreement executed prior to the auction.
(d) Unless otherwise provided by written agreement executed prior to the auction, funds
received by a licensee from the seller or his or her agent for expenses, including advertising,
must be expended for the purposes advanced or refunded to the seller at the time of final
settlement. Any funds so received shall be maintained in an escrow or trust account in an insured
bank or savings and loan association located in this state. However, this does not prohibit
advanced payment of a flat fee.
(11)(a) All advertising by an auctioneer or auction business shall include the name and
Florida license number of such auctioneer and auction business. The term “advertising” shall not
include articles of clothing, directional signs, or other promotional novelty items.
(b) No licensed auctioneer, apprentice, or auction business may disseminate or cause to be
disseminated any advertisement or advertising which is false, deceptive, misleading, or
untruthful. Any advertisement or advertising shall be deemed to be false, deceptive, misleading,
or untruthful if it:
1. Contains misrepresentations of facts.
2. Is misleading or deceptive because, in its content or in the context in which it is presented,
it makes only a partial disclosure of relevant facts.
3. Creates false or unjustified expectations of the services to be performed.
4. Contains any representation or claim which the advertising licensee fails to perform.
5. Fails to include the name and license number of the principal auctioneer and the auction
6. Fails to include the name and license number of the sponsor if an apprentice is acting as
the principal auctioneer.
7. Advertises an auction as absolute without specifying any and all items to be sold with
reserve or with minimum bids.
8. Fails to include the percentage amount of any buyer’s premium or surcharge which is a
condition to sale.
(c) The provisions of this subsection apply to media exposure of any nature, regardless of
whether it is in the form of paid advertising.
(d) The auction business shall be responsible for the content of all advertising disseminated
in preparation for an auction.
History.—ss. 8, 14, ch. 86-119; s. 62, ch. 91-137; s. 11, ch. 91-156; s. 5, ch. 91-207; s. 4, ch. 91-429; s. 302, ch.
97-103; s. 13, ch. 2000-356.