Auctioneer Duty to Seller or Consignor

Under Mississippi Law, Mississippi Code Section 73-4-25, the Mississippi Auction Commission, may:
 

• Refuse to issue or renew a license
• Place a licensee on probation or administrative supervision, suspend or revoke any license
• Reprimand or take any other action in relation to a license, including the imposition of a fine not to exceed Five Thousand Dollars ($5000.00)

for each violation upon a licensee, or applicant for licensure, for any of the following reasons:
 

• Knowingly filing or causing to be filed a false application.
• Failure to enter into a written contract with a seller or consignor prior to placing or permitting advertising for an auction sale to be placed.
• Failure by the licensee to give the seller or consignor a signed receipt for items received for sale at auction, either by item received for sale at auction, either by item or lot number at the time the goods are received, unless the goods are to remain in the possession of the seller or consignor.
• Failure to give the seller or consignor a statement or lot description, selling price, purchaser’s identity and the next proceeds due to the seller or consignor.
• Failure to place funds received from an auction sale in an escrow or trust account.
• Failure to make timely settlement on escrowed funds. Absent a written agreement to the contrary, five (5) business days shall be deemed timely for settlement on personal property.