MLB/team shilling?

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  • GoCrazyFolks76
    Senior Member
    • Mar 2015
    • 285

    #31
    Re: MLB/team shilling?

    Shill bidding is Fraud and is absolutely illegal:



    It behooves everybody here to send an email or two to MLB to let them know about these criminal activities occurring on their own websites.

    auctions.mlb.com/iSynApp/manageUserEmail!showEmailContactUsForm.action?sid= 1101001

    Include specific examples in your email so they have something to investigate.

    Comment

    • yanks12025
      Senior Member
      • Jan 2006
      • 3118

      #32
      Re: MLB/team shilling?

      Originally posted by GoCrazyFolks76
      Shill bidding is Fraud and is absolutely illegal:



      It behooves everybody here to send an email or two to MLB to let them know about these criminal activities occurring on their own websites.

      auctions.mlb.com/iSynApp/manageUserEmail!showEmailContactUsForm.action?sid= 1101001

      Include specific examples in your email so they have something to investigate.

      Ill ask you again. Please show examples of them shilling the auctions. Oh that's right, you don't have proof or anything that the teams themselves are shilling auctions.

      Comment

      • BirdsOnBat
        Senior Member
        • Sep 2014
        • 217

        #33
        Re: MLB/team shilling?

        The Cardinals have all the money in the world, I highly doubt they'd risk their credibility over a few hundred dollars.

        Comment

        • sherbal15
          Senior Member
          • Feb 2015
          • 214

          #34
          Re: MLB/team shilling?

          Originally posted by BirdsOnBat
          The Cardinals have all the money in the world, I highly doubt they'd risk their credibility over a few hundred dollars.
          I am not by any means suggesting ownership would condone the activity whatsoever

          Comment

          • johnsontravis@ymail.com
            Senior Member
            • Dec 2013
            • 479

            #35
            Re: MLB/team shilling?

            Originally posted by BirdsOnBat
            The Cardinals have all the money in the world, I highly doubt they'd risk their credibility over a few hundred dollars.
            These auctions are run by people making a very modest middle class wage. If their contract renewal is based off how much they sell things for or what their auctions look like I'd think one would be VERY motivated to schill.

            Comment

            • johnsontravis@ymail.com
              Senior Member
              • Dec 2013
              • 479

              #36
              Re: MLB/team shilling?

              Sometimes I bid on reserves with no intention of buying them. Some teams put the reserve at the price their inventory list has so I will bid it up a little to "help" them out.

              (I do not bid on Cardinal Auctions)

              Comment

              • danesei@yahoo.com
                Senior Member
                • Feb 2014
                • 1018

                #37
                Re: MLB/team shilling?

                My understanding and reading of the law is that shilling is generally viewed as illegal under the UCC unless one of the following two conditions are met:

                1) Disclosure. If the auction house indicates prior to the start of the auction (possibly in the Terms and Conditions of being a bidder) that they may bid on the seller's or auction house's behalf, then it has been disclosed. This is legal.

                2) Reserve Auctions. This isn't as clear, but reserve auctions are auctions where the seller can withdraw the item for any reason. In the case of a reserve price auction, the reason is bidding doesn't reach the reserve price. If a transaction never occurs due to reserve conditions not being met, then no fraud has occurred.

                Originally posted by GoCrazyFolks76
                Shill bidding is Fraud and is absolutely illegal:

                https://www.addleshawgoddard.com/www...parent_id=2439
                It is illegal in most, not all, cases. In the situation described by sherbal, it doesn't seem any fraud has occurred, since no transaction occurred, and therefore no loss was realized. Also, that site is a private attorney's website. Even the wording in the text related to shilling is that it's probably illegal. It's not definitive, since that's an interpretation of the UCC and recent changes. Only a judge can really define what's illegal or not.

                Originally posted by sherbal15
                The only people using mlb auctions as the "go to" for market value is the teams store. So when you call about buying something they can point to the their latest auction prices as justification. So when you say "that pete Kozma jersey is not even worth $175" the response you'll get is "check our latest auction". The great koz just brought $585!

                Reserve or not, the practice of shilling is dishonest. Not sure if it technically is illegal or not. Again, if I were a cardinal fan bidding on anything I would stay away from anything with a reserve. The reason it even made it to auction is because no one in the "regular customer" list wants to pay the quoted price, which is most likely the reserve price on the auction. Since nobody wants to pay the price it goes to auction and is shilled to point of "just prior to" going over the reserve price. This justifies the price to the "regular customer" and creates a false market for the item entirely.
                Again, the reserve is of substantial relevancy when determining whether shilling has occurred. If the reserve isn't met, no transaction has occurred.

                Originally posted by johnsontravis@ymail.com
                These auctions are run by people making a very modest middle class wage. If their contract renewal is based off how much they sell things for or what their auctions look like I'd think one would be VERY motivated to schill.
                I disagree with the above comment. If my contract were based upon sales in MLB auctions, I'd do everything in my power to ensure items sold. The scenario described by sherbal15 attempts to implicate individuals in shill bidding items BELOW the reserve price. The other implication is that the reserves are above the actual market value for the items. Those actions (setting an absurdly high reserve; shill bidding below the reserve price) don't seem congruent with generating sales.

                As I said, I'd do everything in my power to ensure items sold. I wouldn't shill bid without prior disclosure.

                Now, this brings up a different question...

                eBay's rules prohibit shill bidding. Since eBay claims to be a marketplace, as opposed to an auction house, what would happen if a seller explicitly stated in their auction that they reserve the right to bid on their own behalf to increase an item's selling price? I'm sure that they'd be banned from eBay, but legally speaking, would buyers be surrendering the right to recourse by bidding in the auction and assuming the terms are accepted and binding?

                Comment

                • seanbaseball
                  Senior Member
                  • Aug 2014
                  • 792

                  #38
                  Re: MLB/team shilling?

                  Im surprised so many on here think that any shill bidding anywhere is ok because there is a reserve. That makes zero sense. Also just because an auction may say in small print that they may do it does that make it ok. Its like cheating on your taxes and writing on the 1040 in small print "I cheated"

                  Comment

                  • danesei@yahoo.com
                    Senior Member
                    • Feb 2014
                    • 1018

                    #39
                    Re: MLB/team shilling?

                    Originally posted by seanbaseball
                    Im surprised so many on here think that any shill bidding anywhere is ok because there is a reserve. That makes zero sense. Also just because an auction may say in small print that they may do it does that make it ok. Its like cheating on your taxes and writing on the 1040 in small print "I cheated"
                    Not exactly. According to the UCC, it's explicitly stated that auction houses can bid on their own items, so long as they disclose it in advance. As for the reserve concern, I don't understand why anyone cares what price an auction ends at when the reserve isn't met. I think that's why I personally don't care. It's like those people who put items for sale on eBay with $100k reserves, simply because they never intend to sell and want to advertise their own stores. Since a transaction never occurred, whatever price the item didn't go for is somewhat irrelevant, if not entirely irrelevant.

                    Comment

                    • danesei@yahoo.com
                      Senior Member
                      • Feb 2014
                      • 1018

                      #40
                      Re: MLB/team shilling?

                      To remove any further confusion, here is the actual language of the current version of the UCC, as it applies to auctions:

                      Uniform Commercial Code › U.C.C. - ARTICLE 2 - SALES (2002) › PART 3. GENERAL OBLIGATION AND CONSTRUCTION OF CONTRACT
                      § 2-328. Sale by Auction.
                      (1) In a sale by auction if goods are put up in lots each lot is the subject of a separate sale.

                      (2) A sale by auction is complete when the auctioneer so announces by the fall of the hammer or in other customary manner. Where a bid is made while the hammer is falling in acceptance of a prior bid the auctioneer may in his discretion reopen the bidding or declare the goods sold under the bid on which the hammer was falling.

                      (3) Such a sale is with reserve unless the goods are in explicit terms put up without reserve. In an auction with reserve the auctioneer may withdraw the goods at any time until he announces completion of the sale. In an auction without reserve, after the auctioneer calls for bids on an article or lot, that article or lot cannot be withdrawn unless no bid is made within a reasonable time. In either case a bidder may retract his bid until the auctioneer's announcement of completion of the sale, but a bidder's retraction does not revive any previous bid.

                      (4) If the auctioneer knowingly receives a bid on the seller's behalf or the seller makes or procures such a bid, and notice has not been given that liberty for such bidding is reserved, the buyer may at his option avoid the sale or take the goods at the price of the last good faith bid prior to the completion of the sale. This subsection shall not apply to any bid at a forced sale.


                      So, even in the event where the auction didn't disclose the right to bid, thereby enacting (4), recourse only exists to the buyer. If the reserve is never met, there's no buyer to seek recourse. This is why I keep saying it's pointless to talk about "shill" bidding in reserve price auctions where the reserve price is unmet.

                      Comment

                      • sherbal15
                        Senior Member
                        • Feb 2015
                        • 214

                        #41
                        Re: MLB/team shilling?

                        Originally posted by danesei@yahoo.com

                        ...This is why I keep saying it's pointless to talk about "shill" bidding in reserve price auctions where the reserve price is unmet.
                        The reserves are consistently getting met. Check the history of "recently closed items" on the team page. Go to the recently closed/ended auctions where reserves are met. See whose name appears throughout (cardsgurl16) so there is no confusion).

                        What idiot would bid on any item where the seller is allowed to bid on their own item? If you have a list of auction houses that disclose this info please forward it on. That might actually be useful information.

                        Comment

                        • danesei@yahoo.com
                          Senior Member
                          • Feb 2014
                          • 1018

                          #42
                          Re: MLB/team shilling?

                          Originally posted by sherbal15
                          What idiot would bid on any item where the seller is allowed to bid on their own item? If you have a list of auction houses that disclose this info please forward it on. That might actually be useful information.
                          I used to feel the same way, but I found when dealing with rare coins, sometimes you have to deal with auctions that allow that, or you just never get the coins you want.

                          Comment

                          • BirdsOnBat
                            Senior Member
                            • Sep 2014
                            • 217

                            #43
                            Re: MLB/team shilling?

                            Originally posted by johnsontravis@ymail.com
                            These auctions are run by people making a very modest middle class wage. If their contract renewal is based off how much they sell things for or what their auctions look like I'd think one would be VERY motivated to schill.
                            The info would get back to management in an organization as big as that one. There are assistants to the assistant's assistant. Someone will notice.

                            Comment

                            • johnsontravis@ymail.com
                              Senior Member
                              • Dec 2013
                              • 479

                              #44
                              Re: MLB/team shilling?

                              Originally posted by BirdsOnBat
                              The info would get back to management in an organization as big as that one. There are assistants to the assistant's assistant. Someone will notice.
                              Really? Who is going to know if I go home(or to a friend's), make an mlb auction account, and then start bidding.

                              No one is going to know unless I tell someone.

                              Comment

                              • BirdsOnBat
                                Senior Member
                                • Sep 2014
                                • 217

                                #45
                                Re: MLB/team shilling?

                                Originally posted by johnsontravis@ymail.com
                                Really? Who is going to know if I go home(or to a friend's), make an mlb auction account, and then start bidding.

                                No one is going to know unless I tell someone.
                                Hundreds of independent auditors review every detail of every piece of business the club conducts. It just takes one metric being reviewed to throw a red flag. I'm sure they review the bid histories of their auctions and the personal information associated with those accounts in order to leverage the specific interests of those customers.

                                It's possible no one notices, sure, but again, it's not like it's a guy in a basement calling himself an auction house with no accountability.

                                Comment

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