Shill Bidding Policy

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Shill Bidding is not allowed under the eBay User Agreement (which all members agree to when they join eBay), it is against eBay marketplace policies, and may also breach various consumer protection and criminal laws. Shill Bidding is also illegal in many places throughout the world, with severe penalties.

In Question #2, Bob won a bicycle in an auction in which the seller placed bids on the bicycle. Under the laws of the country where this hypothetical auction took place, Shill Bidding is illegal, and is considered misrepresentation or fraud. Which of the following are true about the seller's bids?
a. The seller's bidding was Shill Bidding which is not allowed under the eBay User Agreement and by eBay marketplace policies.
b. The seller's bidding violated laws on misrepresentation or fraud.
c. The seller's bidding was fine because the seller didn't know his bidding violated eBay's User Agreement, marketplace policies, and laws regarding misrepresentation or fraud.
d. Answers 1 and 2, but not 3.
That's right! The seller's bids are Shill Bidding, which is not allowed under the eBay User Agreement, by eBay marketplace policies, and violates laws on misrepresentation or fraud.

Tip: Even if you believe Shill Bidding is not illegal under the laws of other countries or in other marketplaces, it's always against eBay policy and may also breach various consumer protection and criminal laws in Australia and can result in severe penalties.

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Question: 3 of 13
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