Document ID: chunk:federal_register_of_legislation:F2018L01065:clause:2_5:p4
Version: federal_register_of_legislation:F2018L01065
Segment Type: clause
Provision Reference: sch 2 cl 5 (pt 4/9)
Character Range: 165575–167948

subject to the data validation checks that are performed by the auction system.  The bid for a lot that will be treated as binding for a bidder is the bid in the auction system at the end time of the round.

          Note: A bidder makes a continue bid or exit bid on a lot in a round of the secondary stage in the circumstances specified in clause 11 or 13. The definition of bid in subclause 2(1) includes a bid that is taken to be made.

      11 Continue bid made at or greater than specified price
      (1) A continue bid made on a lot in a round of the secondary stage (the relevant round) that is for an amount (the advance price) that is equal to or greater than the specified price for the lot in the relevant round will also constitute:
         (a)      in any round after the relevant round where the advance price is greater than or equal to the specified price for the lot in that round – a continue bid made on that lot in that round; and
         (b)      in the first round after the relevant round in which the advance price is less than the specified price for the lot in that round – an exit bid made on that lot in that round.
          Note: The definition of bid in subclause 2(1) includes a bid that is taken to be made.
            Example: During round N of the secondary stage, the specified price for a lot is $100,000.  The bid increment percentage is 10%.
If a bidder makes a bid of $130,000 on the lot in round N, then:
(a) for round N+1, the specified price is $110,000, and the bid is taken to be a continue bid for round N+1;
(b) for round N+2, the specified price is $121,000, and the bid is taken to be a continue bid for round N+2;
(c) for round N+3, the specified price is $133,100, and the bid is taken to be an exit bid for round N+3.
      (2) Subclause (1) is subject to any other bid made by a bidder on the lot in a round after the relevant round.

      12 Validity of bids
      A bid in a round of the secondary stage is valid if all of the following apply to the bid:
         (a)      either:
            (i)            if the round is the first round of the secondary stage for bids on a lot – the bid is not less than the starting price for the lot; or
            (ii)         if the round is for bids on a lot, other than the first round of the secondary stage – the bid is not less than the specified price of the lot