FAA Law Review

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© 1997 - 2007 Florida Auctioneer Academy

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Question # 1 (True/False) If a licensed apprentice auctioneer is acting as principal auctioneer, his or her license number must be included in all advertising for the auction, along with the sponsor's name and license number.

Question # 2 (True/False) When a claim is paid from the recovery fund, the auctioneer or auction business license will be automatically suspended.

Question # 3 (True/False) If the auction is advertised as absolute an item may be withdrawn if no bid is received within a reasonable time.

Question # 4 (True/False) If a licensed apprentice changes sponsors, a $50 application fee, a new application and an additional license fee is required.

Question # 5 (True/False) The auction law is administered by the Department of Business and Professional Regulation.

Question # 6 (True/False) All advertising by an auctioneer or auction business must include the name, address and license number of the auctioneer and auction business.

Question # 7 (True/False) The auctioneer recovery fund is authorized to pay up to $100,000 per judgement if conditions warrant.

Question # 8 (True/False) Sealed bidding is considered a form of auction in Florida.

Question # 9 (True/False) A reciprocal license will be issued to any non-resident who holds a valid auctioneer license issued by another state.

Question # 10 (True/False) An apprentice license application fee is $50.

Question # 11 (True/False) The Board of Auctioneers consists of 2 auctioneers, 1 principal of an auction company and 2 lay persons.

Question # 12 (True/False) An unlicensed person who receives no compensation may legally act as a bidcaller at any auction under the supervision of a licensed auctioneer.

Question # 13 (True/False) To qualify for an auctioneer license, an applicant must first obtain a $10,000 surety bond in favor of the state of Florida.

Question # 14 (True/False) A copy of the written auction agreement must be kept by the auction business for 5 years after the date of the auction.

Question # 15 (True/False) A citation, in lieu of a more severe penalty, may be issued for a minor violation but only if the violation has been or is being corrected.

Question # 16 (True/False) An auction business must be licensed by the Dept. of Business and Professional Regulation unless it meets exemption requirements.

Question # 17 (True/False) The auction business must be able to account for advanced funds received from the seller.

Question # 18 (True/False) A licensed auctioneer may sponsor up to 6 apprentices at one time.

Question # 19 (True/False) Misrepresentation of property for sale at auction is considered a minor violation of the auction law.

Question # 20 (True/False) Members of the Board serve for terms of 6 years.

Question # 21 (True/False) An auction clerk license is not required in Florida.

Question # 22 (True/False) Claims against the recovery fund in amounts less than $2,000 are exempt from the requirement of a court ordered judgement.

Question # 23 (True/False) You must be a U.S. citizen to qualify for an auctioneer license in Florida.

Question # 24 (True/False) An auctioneer license and auction business license are required for conducting a public auto auction.

Question # 25 (True/False) Only a licensed auctioneer or licensed apprentice may act as a bid caller at an auction conducted for compensation.

Question # 26 (True/False) The biennial license fee for an auctioneer, auction business or apprentice is $150 each.

Question # 27 (True/False) Chapter 468 is the Florida Statute which regulates auctioneers and auction businesses.

Question # 28 (True/False) An auctioneer who has held a valid auctioneer license in a state other than Florida for 3 consecutive years may serve as a sponsor for one or more apprentices.

Question # 29 (True/False) The purpose of the license law is to protect the public from unqualified auctioneers and unreliable auction businesses.

Question # 30 (True/False) The minimum age for licensure as an apprentice or auctioneer is 21.

Question # 31 (True/False) A majority vote of the membership is required in any action taken by the Board.

Question # 32 (True/False) In order to be considered for payment from the recovery fund, a claim must be filed within 2 years from the date the loss was discovered.

Question # 33 (True/False) A qualified charity is exempt from auction licensing requirements regardless of the number of auctions conducted in a period of time.

Question # 34 (True/False) Except for a local occupational license, no local government may charge a fee for the practice of auctioneering in addition to the license required by the license law act.

Question # 35 (True/False) A fine imposed for a violation of the auction law must be paid within 90 days of issuance of the Board's final order.

Question # 36 (True/False) To obtain an auctioneer license, an applicant must serve as an apprentice for one year or more, or complete at least 80 hours of Board approved auction instruction.

Question # 37 (True/False) A maximum of $100 may be maintained in the auction trust or escrow account for administrative purposes.

Question # 38 (True/False) An auction trust or escrow account must be reconciled on a monthly basis.

Question # 39 (True/False) A second violation involving failure to display a license or make it available for inspection is considered an appropriate area for mediation.

Question # 40 (True/False) The application fee for an auctioneer license by endorsement or reciprocity is $75.

Question # 41 (True/False) An owner of property to be sold may bid, if that fact is announced at the beginning of the auction, all advertising has so stated and the auction was not advertised as absolute.

Question # 42 (True/False) Any change in the information required on an auction business license application must be reported to the Board within 90 days.

Question # 43 (True/False) An auction business license application fee is $75.

Question # 44 (True/False) Sale proceeds must be deposited in an escrow or trust account within 5 working days after the auction if settlement is not made on the day of the auction.

Question # 45 (True/False) If a buyer's premium is charged at the auction, it must be so announced at the beginning of the sale, and a written notice must be displayed.

Question # 46 (True/False) An auction with an estimated gross of less than $500 is automatically exempt from the requirement for a written contract.

Question # 47 (True/False) An auctioneer license and an auction business license must be displayed or available at each auction.

Question # 48 (True/False) Even if a written notice is displayed, the principal auctioneer is required to announce terms of bidding and sale and whether the auction is absolute or with reserve.

Question # 49 (True/False) The license law as amended October, 1987 created the Florida Board of Auctioneers.

Question # 50 (True/False) Each auction must have a designated principal auctioneer who is responsible for the conduct of the auction.

© 1997 - 1999 Florida Auctioneer Academy, Inc.

Go back to Test instruction page
or go to Question Bank General Law UCC Math 4 part Main Test

Correct Answers

1 , 2 , 3 , 4 , 5 , 6 , 7 , 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21 , 22 , 23 , 24 , 25 , 26 , 27 , 28 , 29 , 30 , 31 , 32 , 33 , 34 , 35 , 36 , 37 , 38 , 39 , 40 , 41 , 42 , 43 , 44 , 45 , 46 , 47 , 48 , 49 , 50

Answer: True