Default sale

Default sale is a legal procedure that, in the case of a public auction, is used when a buyer fails to pay the purchase price for one or more items (plus costs) within the prescribed deadline.

In such a case, the good or goods are again offered in the next auction.

Two possibilities:

  1. The sale under default sale achieved a higher price than the first sale.

    In this case, the full purchase price (including the additional value) reverts in full to the original seller.

    The default purchaser cannot claim any further rights to the difference. On the contrary: the costs both negative and positive of the first failed sale are charged to him/her and he/she should will also be liable for the negative costs of the second sale.

     

  2. The sale under default sale achieved a lower price than the first sale.

    Just as above, the full sales price reverts to the original seller.

    The default purchaser must pay the negative difference and also the costs both positive and negative of the first failed sale and in addition he/she should will also be liable for the negative costs of the second sale.