The auction industry has a set of hallmark values which help foster trust between the seller and their clients/customers. Various associations and licensing boards mandate that auctioneers adhere to these values in order to maintain membership and/or auction licensing within a state/jurisdiction.

For instance, the NAA (National Auctioneer's Association) has a list of core values which have become the gold standard of ethical behavior within the industry. These values include: integrity, respect, fiduciary, compliance, confidentiality, loyalty, and duty.

AuctionNinja Seller's Code of Ethics

AuctionNinja focuses on four key values, which AuctionNinja vendors are expected to embody including: integrity, compliance, confidentiality, and professionalism. What do these mean and how do they apply to you? Let's explore.

Integrity

 In other words, acting with personal and professional honesty and moral 'uprightness.' Here are some important ways AuctionNinja sellers can foster integrity ....

• Sellers should provide honest, accurate, complete descriptions when cataloging merchandise. This also means including full disclosure of all flaws, whether with photography and/or descriptions.
• Adhere to copyright and image usage laws.
  • Only use images and descriptions that are your own or those you have received explicit permission to use. 
  • Refrain from using images and descriptions created by others or taken from other websites without the owner/creator's permission.
  • Be sure to read and understand any creative commons (CC) licenses if using stock photography 
• Be upfront about all charges and/or fees. Fully state your terms and abide by those terms as stated. 
• Never participate in shill bidding or bid shielding. Both shill bidding and bid shielding constitute fraud and can actually escalate to a criminal offense. Regardless, both are highly unethical and are grounds for immediate expulsion from AuctionNinja.
  • Shill bidding is a seller intentionally fake-bidding in his/her own auction to inflate the final hammer price.
  • Bid shielding is when a seller arranges to illegitimately submit very high bids (his/herself or through others) to discourage bidders from competing for the same lot. Then he/she retracts those bids so 'insiders' can get the lot at a lower price in the final moments of the sale.

Compliance

Abide by the laws and regulations which govern the auction and estate professions. Equally important are professional ethical standards which, if violated, negatively affect the vendor's ability to use AuctionNinja.

• Sellers should always observe local, state, and federal regulations, as well as comply with regulatory agencies.
  • Check before conducting auctions, to ensure compliance with local and state auction license laws (if any exist). 
  • Some local and state jurisdictions may require an auctioneer license and/or business license. Some may require licenses for live (in-person) auctions, but not for online auctions. Others may required licenses for online auctions. 
  • The verbiage and terminology different states use can by complex and difficult to interpret. The wording might also create ambiguity and "gray" areas. When in doubt, check with your local auctioneer association or board. They can provide a wealth of helpful information regarding compliance.
• Sellers should know and abide by federal, state, and local email anti-spam and privacy laws.

Confidentiality

As confidential trustees of information given by clients/consignors and bidders alike, AuctionNinja sellers should never disclose any information that might compromise the privacy and confidentiality that information.

• Sellers should never knowingly, nor recklessly disclose any confidential information without the express consent of the person(s) involved, except as required by appropriate legal authorities.
• Sellers should refrain from leaving client or bidder information in plain view of others whether it appears in documents, files, or computer/device screens.
• Be sure to keep client names out of any front-facing auction information unless the client expressly permits their name to be used.
• If sending email communications to multiple clients at the same time, BCC those clients. Doing so keeps recipient emails hidden from other recipients. Simply place their email addresses in the "BCC" (blind carbon copy) section rather than "TO." (see bullet point about email privacy under Compliance above.)

Professionalism

Sellers should strive to always show good faith in dealings with clients and bidders regardless of circumstances. 

• Sellers should be committed to competency in their field or subject matter. This allows sellers to advise the client/consignor intelligently and honestly regarding market values and reasonable chance of selling the clients' items.
  • This will help clients make appropriate and proper decisions about their items.
  • By possessing necessary knowledge and skills, sellers can provide an outstanding level of service.
• Sellers should conduct their business in a way that avoid disputes (see integrity above). 
• When problems or issues arise, Sellers should never publicly criticize the complainant. Rebuttals, whether written or verbal, should be rendered factually with strict professional courtesy and dignity.
• Sellers should always provide a written contract for clients that clearly states the terms and conditions.
• Sellers should use reasonable care in moving, transporting, delivering, and/or packaging merchandise whether in a client's residence or at a warehouse.
  • Protecting a client's assets and home is paramount to maintaining client satisfaction.
  • Providing in-tact merchandise to buyers is necessary for a successful and good customer experience.

Written by:

AuctionNinja Staff

March 1, 2022     Updated 03:06 PM

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