Auctions

An auction is a public sale to the highest bidder. When an auctioneer decides that no one will bid any higher for the goods on sale, the bidding is closed by letting the “hammer fall”, or by another appropriate signal. In doing so, the auctioneer accepts the bid on behalf of the owner of the goods, and ownership passes to the buyer at that time. Risk of loss passes whenever the auctioneer acknowledges the buyer’s right to possess the goods.

Auction sales are “with reserve” unless specifically announced in advance to be “without reserve”. “With reserve’ means that if nothing to the contrary is stated in the conditions of the sale, an auctioneer may withdraw the goods anytime before announcing completion of the sale. If “without reserve”, the goods must be sold to the person who makes the highest bid even if it is ridiculously low.

Vocabulary

legal tender законное платежное средство

COD продажа с оплатой при доставке

arrangement договоренность

cash-and-carry продажа за наличный расчет без доставки

sale on return соглашение, по которому торговец имеет право вернуть непроданные товары

sale on approval продажа с сохранением права покупателя отказаться от товара

bidder лицо, выступающее на торгах, покупщик

to bid 1) предлагать цену; 2) набавлять цену; bid предложенная цена (на аукционе); ставка (в пари); заявка (на торгах)

LESSON 11 CREDITS

Text 1 Debtors and Creditors and Laws Protecting Them

A debtor is a person or a business that owes money, goods, or services to another. Whatever is owed is generally called the debt. The creditor is the one to whom the debt is owed. A legally enforceable debt normally arises out of a contract where something of value has been exchanged for a promise to provide money, goods, or services.

During the Middle Ages, charging and interest on loans was illegal; today it is legal and borrowing is considered beneficial to growth and productivity. As a consequence, the debtor/ creditor relationship is encouraged and protected by laws.

The law provides a number of ways in which a creditor can be protected.