American Auction Co

August 25, 2015Revdex.com in Response to Complaint filed by [redacted] entered in to a contract with American Auction Company to sell the contents of her store at auction at a commission rate of 35%? The contract was signed on March 10, ? We picked up the consignment at an agreed upon location? As we were not given an inventory by Ms [redacted] in advance, we had to process the items at our location before a receipt would be available in our Open Market software? [redacted] , who works in our office, explained the software to [redacted] and offered to assist her in using the Open Market software program to view and track her items, she declined? This software enables our Sellers to login online to our Seller Portal hours a day, and view as well as print reports at any time? She was made aware of this? The portal also includes item descriptions, photographs, dates of auction and auction sales results after the auctionAs a matter of record, her inventory count was not even close to items as she indicates in the second paragraph of her complaint? For your convenience, I have included her settlement documents that include the following for each listing:? · ? ? ? ? Lot number· ? ? ? ? Description· ? ? ? ? Photograph· ? ? ? ? Sales Price? Ms [redacted] did come to our auction; however, her account regarding about how the auction works is not quite correct? The bidding starts at $unless there are already bids after the week long preview and proxy bidding period online? Furthermore, if there is a bid at $10, the item will sell? When there are already bids from the proxy bidding period, the bidding starts at the next highest amount (example: ? If the Internet has a bid of $12.50, the Auctioneer would ask for a bid of $15)? As the bid increases, so does the next required bid? She was aware of this, as her salesperson reviewed each numbered item on the contract.? The auction terms on the contract, specifically items and clearly state:? ? Auction Terms: Consignor agrees and understands that the Property will be sold at Absolute Auction without reserve or minimum price to the highest bidder regardless of sales price? Consignor agrees to allow AACO to retain full control over the timing, method, location, and type of auction to use in selling the property, including the discretion as to the date(s) of sale of the Property and disbursement of same throughout multiple auctions.? ? ? ? Commissions and Fees: ? Consignor understands that while AACO cannot guarantee any sale price in an auction format, AACO will use their professional skill, expertise, experience, sales and marketing to describe, photograph, and group Property to create desirable auction lots, as well as promote Consignor’s products in an effort to obtain the highest possible price for said consigned Property? In exchange for AACO’s services, AACO will be compensated on a commission basis as set forth of the total sales proceeds of the Consignor’s Property.? Our facility is a locked facility, with the exception being during scheduled auctions, previews, and other events? We do not allow buyers or sellers to walk freely around our building as heavy equipment is in operation and we want to eliminate all possible injury to clients and customers and it is forbidden by our insurance company? We have several locations in our large warehouse? Some areas are strictly set up for processing product for auction? Other areas are areas where specific product type is merchandised (similar to a retail establishment) and offered in an attractive way for preview and the auction event? In addition, we regularly utilize three main areas for different auction sales areas (the location at which items will be sold)? In [redacted] ’ account of her unannounced visit, she saw her property damaged, scratched, broken, crushed, incomplete and scattered throughout different areas of the buildingThe only correct item is that her items were located in different areas of the building and some may have looked incomplete as items were being moved to the event sales ring once processed.? Once a lot (consisting of one or more items) is described and photographed, a Runner (employee who moves product to the sales area in which it will be sold after it has been processed) moves the lot to the sales area (the location in which the item will be displayed and offered for sale)Of course she would have seen product in different areas in our buildingThere are several sales areas in our building that are staged for each auction? There were no items crushed or broken that were not in that condition when they were picked up.? ? Ms [redacted] account of her full armoire and that had not been emptied, are probably correct; however, we were IN PROCESS of processing her items and preparing her items for auction? Our firm has never sold a piece of furniture with contents remaining in the drawers unless the contents were additional drawer pulls or knobs that went with the piece [redacted] account of what transpired that day is incorrect? An employee would not have told her that items would be sold in the set of drawers, because they never are.? Ms [redacted] would show up at our auctions, make snide comments about our services to other bidders present at the auctions and she would intimidate and hassle some our employees in her attempt to start a scene? Many staff members would tell us that at times she acted lucid; however, a number of times, she did not.? Ms [redacted] account of her full armoire that had not been emptied is probably correct; however, we were IN THE MIDDLE OF PROCESSING? She showed up at live auctions, made snide comments about our services to other bidders who were present at the auctions and she would intimidate and hassle some of our employees in order to get attention or cause a scene.Many staff members who came in contact with Ms [redacted] were concerned, as one minute she would seem fine, and the next minute she didn’t seem lucid at all and an in another interaction she was hostile and difficult.As [redacted] wrote, Josh had arranged a meeting with our Chief of Staff, Carolyne Horton and [redacted] so she could share her concernsShe listened to her concerns; however, clarified once again, that is up to our firm to indicate how items would be grouped and sold? A specific example is the two boat shelves that [redacted] writes about in her submission to your office? We group items such as those together as they would sell better that way in our auction environment? She is used to how things sold in her store? An auction house is not a store? We merchandise items; however, auctions are very different than a store.Further, [redacted] mentions that our employee said that we would leave items in the armoire? This is not the case, has never been our procedure or in any of our processes to leave items in an armoire or any piece of furniture? It was becoming very clear that [redacted] was not willing to listen to anything we said? She was hostile, argumentative, and her behavior was troubling.Ms [redacted] believes she is very clear on her facts; however, she is incorrect on many? This includes her claim that our Company has changed our name three times in the past two years? Since I joined our organization fifteen years ago, we changed our name recently in January of from Auction Systems to the American Auction Company? She claims to have heard rumors of money laundering, and questioned the ethics regarding how a single woman runs a multi-million dollar business? The owner of our company has been married for over twenty-five years and I not even qualify or dispute her other ridiculous and slanderous comment.? Ms [redacted] mentioned a list of missing items that she included in your letterOur staff member had placed the pieces in our holding area when she left them outside after she picked up her items; however, he neglected to advise his Manager which would have resulted in a call to [redacted] ? When she inquired about the items we searched our facility and the items were quickly found and returned to [redacted] .We were very upset that Ms [redacted] was not happy with her experience with our firm? In addition, to that end we were willing to waive our commission due to her dissatisfaction? The only requirement was that she signs a standard release agreement indicating that she would not engage in negative communication regarding our firm? She declined.The reason for this was that we were advised by a Consignor who is also a consignor at [redacted] that he overhead a conversation regarding [redacted] and an [redacted] employee regarding [redacted] wanting to transfer all of her items to [redacted] as quickly as possible[redacted] also indicated she was disappointed with the prices her items received at auction? Our firm performed our due diligence and her items were well advertised.? ? Advertisements and promotions included but were not limited to:? ? Unless specifically negotiated and contracted with consignor, items highlighted in advertising are chosen by Marketing Dept, based on the general interest of American Auction Company Bidders:? · ? ? ? ? LED Billboards in Phoenix, advertising American Life Auctions· ? ? ? ? Newspaper Advertisingo ? ? ? ? AZ Republic, Sunday classifieds, under Auction Heading, every Sundayo ? ? ? ? New Times Weekly, advertised during week of live auction· ? ? ? ? Radioo ? ? ? ? Top music station in Phoenix and most of Arizona, advertised during week of live auctiono ? ? ? ? Latino music station in Phoenix, advertised during week of live auctiono ? ? ? ? American Auction Company Radio Network, advertised to all registered American Auction Cobidders· ? ? ? ? Email broadcastso ? ? ? ? At least email broadcasts to very large in-house email subscriber list· ? ? ? ? Phone calls to American Life Auction bidders, announcing next live auction· ? ? ? ? Social media postso ? ? ? ? Facebooko ? ? ? ? Twittero ? ? ? ? Google+o ? ? ? ? Instagramo ? ? ? ? YouTube, including Sneak Peek auction video, highlighting various items in American Life Auctionso ? ? ? ? Pinterest? ? ? ? · ? ? ? ? Social media paid advertisements on Facebook· ? ? ? ? Onsite flyers posted and available for handouts to bidders atpreview and auctions· ? ? ? ? Advertising on American Auction Co catalog covers· ? ? ? ? Press releases· ? ? ? ? Craigslist posts· ? ? ? ? Digital ads with newspapers, radio stations, and specialty web sites· ? ? ? ? Third party auction websites· ? ? ? ? Featured items on front page of website (AmericanAuctionCo.com)· ? ? ? ? Retargeting digital ads aimed at visitors to AmericanAuctionCo.com· ? ? ? ? Google AdWords campaigns? ? In closing, our firm offered [redacted] inventory to our entire bidder base via emails, phone calls, text messages, and a week of pre-auction bidding and through video sneak peeks? The public was also invited to bid through print and online channels including radio, television, billboards, and more.? Based on all of the advertising and efforts on our part, the well informed public spoke and determined the fair market value at auction? The Fair Market Value is defined as:? Fair market value (FMV) is an estimate of the market value of a property, based on what a knowledgeable, willing, and unpressured buyer would probably pay to a knowledgeable, willing, and unpressured seller in the market.? [redacted] has received all settlement reports related to her consignment.? Sincerely,? ? ? [redacted] Customer Service Manager