Mr. Patrick Davitt:

Of course as an auctioneers' representative I am going to tell you that auctioneers never take part in gazumping. It is quite easy to see why we do not take part. Gazumping happens when a purchaser who did not get to buy a property, makes a further higher offer on the property. Since 2012 it is against the law to not pass a bid on to a vendor if it is made after the property goes sale agreed and before the actual contracts are signed. If I sell a property today, it goes sale agreed. If someone else then makes a higher offer the next day or a week later, I have to go back to the vendor. If I do not go back to the vendor, that vendor can complain to the regulatory authority and I could lose my licence. The moral of the story is that auctioneers do not like gazumping, it is not good for us and we do not want it to be practised.

I was on the 2004 committee when the Property Services Regulatory Authority started. I proposed there should be a sales contract for auctioneers so when we do a sale we should be able to take out a sales contract, complete it with the vendor and the purchaser and then sign it with both parties so there could be no gazumping after that. That sales contract would put a stop to it but it would be subject to a contract completed by the Law Society or by a solicitor, a formal contract completed after that sales contract was done. We do not like the practice, but we have to take part in it because it is the law. We cannot do anything else only take part in it if someone makes us an offer. Everyone is entitled to buy a property until such time as the contracts are signed.