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 If in an Auction Sale, Auctioneer mistakenly falls the hammer for price less than the Reserve price, Auctioneer is: 
  • a)
    Bound by auction
  • b)
    Not bound by auction 
  • c)
    Both (a) & (b)
  • d)
    Liable for damages 
Correct answer is option 'B'. Can you explain this answer?
Most Upvoted Answer
If in an Auction Sale, Auctioneer mistakenly falls the hammer for pric...
Option "b" is correct.....because u/s 65 of sale of goods act, 1930, in case of an auction sale subject to a reserve price, if the highest bid falls short of the reserve price,such a bid is not binding on the auctioneer and the auctioneer may lawfully refuse to accept the same ....even if the auctioneer mistakenly accepts a bid which is below the reserve price , such acceptance will not be valid and the auctioneer cannot be compelled to perform the contract of sale. therefore, auctioneer will not be bound by the auction
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If in an Auction Sale, Auctioneer mistakenly falls the hammer for pric...
And (b)

Answer: c) Both (a) and (b)
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If in an Auction Sale, Auctioneer mistakenly falls the hammer for price less than the Reserve price, Auctioneer is:a)Bound by auctionb)Not bound by auctionc)Both (a) & (b)d)Liable for damagesCorrect answer is option 'B'. Can you explain this answer?
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If in an Auction Sale, Auctioneer mistakenly falls the hammer for price less than the Reserve price, Auctioneer is:a)Bound by auctionb)Not bound by auctionc)Both (a) & (b)d)Liable for damagesCorrect answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about If in an Auction Sale, Auctioneer mistakenly falls the hammer for price less than the Reserve price, Auctioneer is:a)Bound by auctionb)Not bound by auctionc)Both (a) & (b)d)Liable for damagesCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for If in an Auction Sale, Auctioneer mistakenly falls the hammer for price less than the Reserve price, Auctioneer is:a)Bound by auctionb)Not bound by auctionc)Both (a) & (b)d)Liable for damagesCorrect answer is option 'B'. Can you explain this answer?.
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