PA Auctioneer flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

Apprentice auctioneer

A person licensed to learn auctioneering under the sponsorship and supervision of a licensed auctioneer; may not conduct an auction independently or hold an auctioneer license at the same time.

Auction company license

A credential issued to a business entity that auctions goods, requiring a designated licensed auctioneer as the company's licensed representative responsible for its auction activity.

Registered trading assistant

An individual registered with the Board to assist at auctions without calling bids or conducting the sale; registration is distinct from auctioneer licensure.

Trading assistant company

A business entity that supplies registered trading assistants to auctioneers and must itself register with the Board before providing those services.

Licensed representative

The licensed auctioneer a company designates to be responsible for the company's auction activity; the company's authority depends on that individual's license.

State Board of Auctioneer Examiners

The Pennsylvania board created by Act 85 of 1983 that licenses auctioneers and companies, adopts regulations, and disciplines licensees for violations.

Act 85 of 1983

The Pennsylvania Auctioneer and Auction Licensing Act; it defines regulated terms, establishes the Board, and authorizes regulations governing licensing and practice.

Board regulation authority

Regulations adopted by the Board carry the force of law, but a regulation that conflicts with the statute is invalid to the extent of the conflict.

Grounds for discipline

Bases on which the Board may act, including fraud in obtaining a license, dishonest dealing, unprofessional conduct, and violating the Act or Board regulations.

Unlicensed practice

Conducting or assisting an auction without the required license or registration; subject to Board action, penalties, and injunctive relief even without payment.

Commingling prohibited

Sale proceeds and client funds must be kept separate from the auctioneer's personal or operating funds; mixing them is a violation and a breach of fiduciary duty.

Written seller contract

An agreement stating commission, fees, sale terms, and settlement timing; unwritten terms are construed against the party who should have documented them.

Due process at hearing

Before suspending, revoking, or penalizing a license, the Board must give notice and an administrative hearing that satisfies constitutional due process requirements.

Immoral or unprofessional conduct

Dishonesty, fraud, deceit, misrepresentation, or behavior that undermines public confidence in auctioneering; a statutory ground for Board discipline.

Fiduciary duty to seller

The auctioneer owes loyalty, confidentiality, disclosure of material information, and full accounting of funds received on the seller's behalf.

Shill bidding

Placing bids or arranging bids to inflate price without genuine intent to buy; fraudulent conduct that misleads bidders and supports discipline.

Material defect disclosure

Known defects affecting value or use must be disclosed; concealing them in advertising or at the podium is misrepresentation and unprofessional conduct.

Conflict of interest disclosure

Undisclosed self-dealing, secret purchases at one's own sale, or hidden buyer compensation must be disclosed in writing; concealment is unprofessional conduct.

Truthful advertising

Advertising must accurately describe goods and terms and identify the licensed auctioneer or company; material differences between ad and sale are deceptive.

Confidentiality after agency

The duty to keep client information confidential continues after the relationship ends, except where law, the Board, or fraud prevention requires disclosure.

Board investigation cooperation

A licensee must respond truthfully to Board inquiries; obstruction or false statements to the Board are themselves unprofessional conduct.

Prevailing practice standard

The measure is what a reasonably prudent licensed auctioneer would do in similar circumstances, not the licensee's own habitual custom.

Good faith professional judgment

An informed decision made honestly in the client's interest, documented when it affects price, terms, or disclosure obligations.

Reserve documentation

The minimum or reserve price and the seller's authority should be established and recorded in writing before the auction begins.

Sale recordkeeping

Bidder registration, sale results, and buyer and seller settlement statements should be accurate and retained to demonstrate the standard of care.

Announced terms as contract

Terms announced before bidding form the contract with bidders and should match the written seller agreement and applicable law.

Delegation accountability

Assigning tasks to assistants or trading assistants does not transfer responsibility; the licensed auctioneer remains accountable for the sale's conduct.

Mid-sale dispute handling

When a dispute arises, the auctioneer should apply the announced terms and preserve a written record rather than improvise without documentation.

Justified practice deviation

Departing from prevailing practice is defensible only when specific circumstances justify it and the client is informed; routine deviation suggests negligence.

Bid calling authority

Only a licensed auctioneer may call bids and conduct the sale; registered trading assistants may assist but cannot perform that function.

Biennial license renewal

Auctioneer, apprentice, and company credentials must be renewed on the Board's cycle; a lapsed license cannot be revived by resuming practice.

License verification

Checking a person's or company's status with the Board before contracting confirms that the required auctioneer, apprentice, or trading assistant credential is active.