For auctioneers, an Auctioneer Bond may be required by the state prior to being legally licensed. This is a bond that protects consumers from fraud on behalf of the auctioneer or auction house.

1. WHAT IS AN
Presented by:

2. What is an
Auctioneer Bond?
If you want to become licensed in your state as an auctioneer,
then you may be required to obtain an auctioneer bond.
This is a bond that protects consumers from fraud on behalf of
the auctioneer or auction house, such as:
Misrepresentation of the items
auctioned
Substitution of items

3. 3 Parties Involved:
An auction or auctioneer bond works in the same way as any other surety bond. There are three key parts of any surety bond:
PRINCIPAL OBLIGEE SURETY
The principal is the business or
individual that is required to
purchase an auctioneer bond.
The obligee is the agency
that requires the bond to be
purchased.
The surety company is the
underwriter of the bond.

4. How does it work?
If the auctioneer or auction house fails to meet the terms of the
bond, then the surety company will make a payment up to the
total bond amount to the injured party.
The principal will have to repay the amount that is paid out to the
claimant.

5. How much will you pay for this bond?
Pricing for auctioneer bonds varies from state to state.
For any surety bond, you will pay just a percentage of the total bond amount for your premium.

6. https://suretybondauthority.com/auctioneer-bond/
SOURCE:
800-333-7800
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