Can a bidder retract his or her bid after the gavel falls?

Once the gavel falls in an auction setting, the bid is typically considered final and binding. This is significant because the completion of the auction process indicates that a legally enforceable contract has been formed between the seller and the highest bidder. The legal principle behind this is that the acceptance of the highest bid creates a commitment for both parties, solidifying the terms of the sale.

Allowing retraction of a bid after the gavel falls would undermine the integrity of the auction process, leading to potential chaos and disputes among participants. Therefore, once a bid is accepted and the gavel signals the conclusion of the auction, the bidder cannot retract their offer, making this option the correct response.