Multiple choice

An auction sale is complete on the

  1. delivery of goods

  2. payment of price

  3. fall of hammer

  4. none of the above
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

An auction sale is complete when the auctioneer announces its completion by the fall of the hammer (or in customary manner). The 'fall of hammer' signifies acceptance of the bid and creates a binding contract between the bidder and auctioneer, even before payment or delivery.

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