Why do people sell cars at auction?

[rat rod]

i wonder if you owed them £6,500 they would call it sorted,there must be hundreds of cases like this that you don't hear about,like WILL said how can educated people just hand over their valuable assets so easily without doing some homework,have bought and sold with silverstones,historics and bonhams with little or no problems and although i have attended said auction in question here i have never been brave enough to bid on or enter a car.with them and i don't know if it's just me me but love the way when you are entering a car you are their best friends and then talk down to you when there is a problem usually caused by them, they obviously are using customers funds to fund their next auction so will be always one step or two behind,it's only a matter of time before it goes tit's up again !

[Drclarke]

Maranellohouse said:

Just had an email from Coys saying they are pleased the matter has been settled and would like me to advise all forums that things have been sorted. I'm still out £6500 but its all sorted.

Was it’s a condition that if they settled up. You had to advise all the forums of such?

It sounds like blackmail to me.

[Maranellohouse]

Drclarke said:

Was it’s a condition that if they settled up. You had to advise all the forums of such?

It sounds like blackmail to me.

It was an email sent to me yesterday by Coys staff member No3. I don't actually know why.

[Maranellohouse]

will_ said:

What amazes me is that people don't appear to do any basic research before entrusting a very valuable asset to an auction house.

Guilty. As it was one of the big classic auction houses I didn't do my homework. Lesson learned and that information posted to help others wise enough to do their research.

Edited by Maranellohouse on Wednesday 8th May 09:13

[So]

Maranellohouse said:

will_ said:

What amazes me is that people don't appear to do any basic research before entrusting a very valuable asset to an auction house.

Guilty. As it was one of the big classic auction houses I didn't do my homework. Lesson learned and that information posted to help others wise enough to do their research.

Edited by Maranellohouse on Wednesday 8th May 09:13

How did you end up 6.5k down if you don’t mind me asking?

[Maranellohouse]

So said:

How did you end up 6.5k down if you don’t mind me asking?

Don't mind you asking in the least. I'm pleased that you are interested.

For the purposes of me keeping to the facts and not out to influence anyone's take on the situation, can I ask you to follow the timeline from the auction on the 4th of December as it will explain how the shortfall came about.

[Unexpected Item In The Bagging Area]

Timeline?

[Maranellohouse]

Unexpected Item In The Bagging Area said:

Timeline?

http://maranellohouse.net/coys.html

http://maranellohouse.net/coys2.html

http://maranellohouse.net/coys3.html

[Unexpected Item In The Bagging Area]

Thanks. FYI those pages don’t appear on the website linked from your PH profile.

[Unexpected Item In The Bagging Area]

I can’t see any reference to the £6.5k though, however the colours of the background and fonts have sent my eyes funny, I find it hard to read!

[So]

Maranellohouse said:

So said:

How did you end up 6.5k down if you don’t mind me asking?

Don't mind you asking in the least. I'm pleased that you are interested.

For the purposes of me keeping to the facts and not out to influence anyone's take on the situation, can I ask you to follow the timeline from the auction on the 4th of December as it will explain how the shortfall came about.

I had a look at your site a while ago and found it hard going, honestly. Any chance of a snappy one or two sentence summary please?

[outnumbered]

I think it's basically that they said on the phone that it would achieve at least price X, which the OP required to make the sale worthwhile.

Then when the car was actually on site, they said it was worth less, and recommended lowering the reserve. In the end it was sold for X - 6.5K.

I agree the story was very hard to follow, so I may be wrong on the above !

[monthefish]

Credit where credit's due, it's decent of the chap to write that summary to warn others.
It would have been very easy for him to just 'close the book' on the situation after the money came through.

[So]

outnumbered said:

I think it's basically that they said on the phone that it would achieve at least price X, which the OP required to make the sale worthwhile.

Then when the car was actually on site, they said it was worth less, and recommended lowering the reserve. In the end it was sold for X - 6.5K.

I agree the story was very hard to follow, so I may be wrong on the above !

If that is the case, he is not "down £6.5k".

[rat rod]

there's always one !

[williamp]

From the website

"04 December 2018 20:47
I watched the auction live (I have the recording) and was completely dismayed when the hammer went and the car WAS SOLD for £9K bellow the reserve . No mention during the auction about being sold with an MOT or about the registration transfer . As far as I could see that was it sold for £9K less than the reserve ! I tried to phone Coys of Kensington Staff member "1" straight away but no answer
At 20 :51 sent Coys of Kensington Staff member "1" a text to try get him, I was now extremely worried . I actually sent a further 3 texts (Again I have all texts that were sent/received) ."

Sold less then the agreed reserve, convinced the new owner to pay a bit more??

[So]

williamp said:

From the website

"04 December 2018 20:47
I watched the auction live (I have the recording) and was completely dismayed when the hammer went and the car WAS SOLD for £9K bellow the reserve . No mention during the auction about being sold with an MOT or about the registration transfer . As far as I could see that was it sold for £9K less than the reserve ! I tried to phone Coys of Kensington Staff member "1" straight away but no answer
At 20 :51 sent Coys of Kensington Staff member "1" a text to try get him, I was now extremely worried . I actually sent a further 3 texts (Again I have all texts that were sent/received) ."

Sold less then the agreed reserve, convinced the new owner to pay a bit more??

If that is what has given rise to the loss of £6.5k then it's very odd. I am not going to go to MH's website again because it was too difficult to read, but it would be interesting if he could confirm here that it is what went on.

[Mousem40]

This is why he is out £6.5k

From his website:-

'The phone call lasted 38 minutes with key points being 7.1 to 7.5 of Coys terms and conditions that states If Coys sell a car for less than the agreed reserve the seller can assume the lot went for the agreed reserve'

Which they later on said they won't do (reason not given), so he does seem to be genuinely down.

[slow_1]

Mousem40 said:

This is why he is out £6.5k

From his website:-

'The phone call lasted 38 minutes with key points being 7.1 to 7.5 of Coys terms and conditions that states If Coys sell a car for less than the agreed reserve the seller can assume the lot went for the agreed reserve'

Which they later on said they won't do (reason not given), so he does seem to be genuinely down.

Its quite common for auction houses to sell below the reserve in the room but still pay the seller the full agreed reserve amount. Remember they earn out of both the buyers and sellers commissions and can just take a reduced margin in order to conclude a sale.

I am completely shocked though on how Coys have conducted themselves and I have advised many car collector friends of this incident as it is completely unacceptable. I personally would not give them any cars for auction!

[So]

Mousem40 said:

This is why he is out £6.5k

From his website:-

'The phone call lasted 38 minutes with key points being 7.1 to 7.5 of Coys terms and conditions that states If Coys sell a car for less than the agreed reserve the seller can assume the lot went for the agreed reserve'

Which they later on said they won't do (reason not given), so he does seem to be genuinely down.

I wonder why he hasn’t pursued a claim. Is the firm solvent?