P3D Re: PHOTO-3D digest 3643

[Andy Beals <bandy@xxxxxxxxxxxx>]

On Mon, 13 Dec 1999 10:46:09 -0700, JNorman805@xxxxxxx wrote:
> In a message dated 12/13/1999 10:50:21 AM Eastern Standard Time, 
> photo-3d@xxxxxxxxxxxxxxxxx writes:
> 
> << That's not correct Rod... If the reserve is $2500 and 
>  someone places a maximum bid of $3000 then the bid will not 
>  go to $2500.  It will go to the next increment, which might
>  be $301.  It will stay below the reserve unless if bidding
>  from two parties brings it above it. >>
> 
> Really??!!??  I was pretty sure that any single bid over the reserve would 
> bump the present price to the reserve (with any excess being held as a proxy 
> bid),

My understanding/reading as well.

> but that any bid under the reserve, no matter how large, would simply 
> be the highest present bid but not secure the item? 

Yes.

> The above is certainly 
> news to me.  Can anyone cite a rule to support either position?
> 
> Jim Norman

When you bid on a reserve price auction (in this case, the bid amount is 
$180), you see this:

You are bidding in a reserve price auction. In order to win the auction, a 
bidder must meet or exceed the reserve price and have the highest bid. If your 
maximum bid of $180.00 meets or exceeds the seller's reserve price, your bid 
of $180.00 will be automatically increased to meet the reserve. Your bid will 
never be automatically increased above your maximum.

Also, it's laid out in the basic help:

http://pages.ebay.com/help/basics/g-reserve-auction.html

Reserve Price Auction

The reserve price is the lowest price a seller is willing to
sell an item for. This amount is generally higher than the
minimum bid. 

In order to win the auction, a bidder must meet or exceed the
reserve price and have the highest bid. 

If a bidder's maximum bid meets or exceeds the reserve, the bid
will be automatically raised to meet the reserve. 

If no bidders meet the reserve price, neither the seller nor
the high bidder are under any further obligation to complete
the transaction.