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Many auction houses have had trouble the past few years with Chinese bidders. They will bid for an item, offer the highest bid, then ask for a discount or just don’t pay. Millions of dollars in bids have been involved. This means the auction house has to try to collect or decide whether or not to take legal steps. The seller does not get paid, and an item that is resold often gets a much lower price because buyers fear that some unrevealed problem exists. Several auction houses now require a deposit of $50,000 or more before they take bids on very expensive items. Elite Decorative Arts of Boynton Beach, Florida, had a new solution in its June 24 catalog. They included this line in the description of a carved rhinoceros horn that was bought in a March sale for about $250,000: "This lot is being relisted due to non-paying Auctionzip bidder Xiangtai Zhao (King779) from Shanghai, China. Beware of this bidder." We hope other auction houses will face up to this problem of bidders that don't pay. It is damaging the auctions, collectors, and sellers.
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