Contracts

In Louisiana, which of the following best describes an 'auction sale' of real property?

AA sale exclusively for licensed real estate agents
BA public sale in which property is sold to the highest bidder — may be absolute (seller must sell) or with reserve (seller may set a minimum price)✓ Correct
CA sale requiring LREC approval in advance
DA sale restricted to distressed or foreclosed properties

Explanation

A real estate auction is a public competitive sale. An 'absolute auction' has no minimum price — the highest bid wins. An auction 'with reserve' allows the seller to reject bids below the reserve price. Auctions can market any type of real property.

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