Is it permissible to require a minimum opening bid at an absolute auction?

In an absolute auction, the defining characteristic is that the property will be sold to the highest bidder regardless of the bid amount. This concept is fundamental to maintaining the true spirit and nature of an absolute auction. Allowing a minimum opening bid contradicts the principles of an absolute auction because it introduces a preset threshold that must be met before the auction can properly proceed.

The intention behind an absolute auction is to create an environment where bidders feel free to participate without fear of a reserve price preventing them from winning the item. If a minimum opening bid were required, it could deter participation, as potential bidders might be dissuaded if they feel the starting bid is too high or unrealistic.

Thus, the rules governing absolute auctions stipulate that no preliminary conditions like minimum bids can be imposed, ensuring full transparency and encouragement for open bidding among the participants.