The information is transmitted via teletype or computer system to all buyers connected into the system. Identification and grading are critical aspects when livestock is sold on a live basis. In some systems, registered graders describe, grade and list the animals. In others, there are provisions for verification by a third party whether the animals match the description of the offering and the official grades. Adjustments in the price can then be made.
Specific features vary from one system to another.
The Ontario Cattlemen's Association has recently approved a proposal to develop and conduct a five-month trial of a computerized electronic auction for slaughter cattle in Ontario. Cooperating auction sales and commission firms at the Ontario Stock Yards will be the focal points of receiving listings to be offered on the electronic auction. They will also act as third party referee in verifying that the cattle loaded for delivery match the description of the offering, and will be responsible for resolving any disputes that may arise. This system, which has been applied in areas of the United States, involves the use of a conference telephone hookup whereby buyers phone in bids. Sellers make consignments to a market agent prior to the actual sale.