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Simple English definitions for legal terms
upset bid
Read a random definition: Urban Mass Transit Administration
A quick definition of upset bid:
An upset bid is when someone offers more money than the current highest bidder in a judicial sale, so that the sale will be cancelled and they can become the new highest bidder. It's like a game of "I'll pay more than you" to win the auction.
A more thorough explanation:
Definition: An upset bid is a bid made in a judicial sale that is higher than the previous bid, with the intention of setting aside the sale.
Example: John bids $100,000 for a property in a judicial sale. Mary then makes an upset bid of $110,000, which is higher than John's bid. If no one else makes a higher bid, the sale will be set aside and Mary will become the new owner of the property.
This example illustrates how an upset bid works in a judicial sale. It allows interested parties to make a higher bid and potentially acquire the property, while also ensuring that the sale is fair and the property is not sold below its actual value.