All auctions are assumed to be what unless otherwise specified?

In general auction practice, unless specified otherwise, most auctions are assumed to be reserve auctions. In a reserve auction, the seller sets a minimum price that must be met for the item to be sold. If the bidding does not reach this minimum price, the seller is not obligated to complete the sale, resulting in more control over the outcome for the seller.

This contrasts with an absolute auction, where there is no minimum price, and the item must be sold to the highest bidder, regardless of the final bid amount. Understanding this distinction is crucial for both bidders and sellers to set proper expectations before participating in an auction. By correctly identifying that auctions are typically assumed to be reserve, one can better navigate auction scenarios and make informed decisions.