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Auction procedure summary

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Auction procedure summary.
The Creditor usually initiates the auction. A typical example of creditor is usually from financial institution. Aside from this, there is Tax administration bureau and local executive branch (City Office, Prefectural government, etc.). When such kind of public office initiates the auction, it is called "Public sale". In case of auction and public sale, both process should be applied in the court office. The court office will request to appraise/ assess the real estate that is subject for auction and public sale. Then, the detailed article or document report will be created based on the appraisal/ assessment result.
During the bidding process, if no one bids within the specified bidding duration, it will implement the special clearance sale within a week after the bidding duration. Whatever amount offered by the purchaser will become a possible purchase amount.
Example, there is an auctioned property no. 100 (Year 2009). At first, the bidding duration is announced. Then, it will turn to a special clearance sale when there is no bid entries.
If no one gets the special clearance sale, a second bidding which is 30% lower than the clearance standard price will be announced. Then, second special clearance sale will be implemented in case of no bid entries on the second bidding duration. This process will continue upto third time bidding and special clearance sale.
No auction will be announced after the third time bid opening.

1 inquiries, suggestions or comments:

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November 18, 2009 at 1:59 AM

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