Louisiana's Auction Laws Regarding
Louisiana's actual laws on shill bidding are
Here's a synopsis: Shill bidding is
ILLEGAL in Louisiana
UNLESS it's divulged
beforehand in advertising or announced prior to commencing the auction.
Furthermore, if shill bidding for the owner is transpiring, it is
REQUIRED to be posted on prominent display at
the auction premises.
Now for the actual auction statutes backing up
the above synopsis:
SHILL BIDDING STATUTES IN LOUISIANA
No person acting as auctioneer shall purchase, either
directly or indirectly, any property at a sale made by him except as
provided in R.S. 37:3130. Any such sale is null.
No person shall act at any auction sale as bidder or
what is commonly known as "capper," "booster," or "shill" or place or offer to
place any false bids or offer to buy or pretend to buy any property sold or
offered for sale by auction.
§3130. Absentee bidder;
consignor or property owner; public notice required
any provision of this Chapter to the contrary, an
auctioneer may bid on behalf of an absentee bidder
for the protection of a consignor or owner of
property sold or offered for sale at an auction.
Prior to the commencement of the auction,
the auctioneer shall provide public notice of
the right and intention of the auctioneer to bid by printing such notice in the
auction catalogue, other printed matter on the auction, or any newspaper
advertisements publicizing the event or by announcing at the opening of the
auction the intention to bid. In addition to the
requirement for prior notice of intention of the auctioneer to bid as provided
herein, written notice of the intention of the
auctioneer to bid at an auction shall be
openly displayed on the auction premises
during the auction. Failure to provide this notice or to make the announcement
shall nullify the sale.
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