Multiple choice

An auction sale is an example of

  1. invitation to treat an offer

  2. mere communication of information in the course of negotiation

  3. statement of intention

  4. offer
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

An auction sale is fundamentally an invitation to treat (offer) - the auctioneer invites bids from potential buyers. Each bid is an offer, which the auctioneer can accept or reject by knocking down the hammer. Until the hammer falls, there is no binding sale. Options B and C describe preliminary negotiations. Option D (offer) is incorrect because the auction itself doesn't constitute an offer - it's an invitation for others to make offers (bids).

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