A vendor bid at auction is a bid made by the auctioneer on behalf of the seller (the vendor) rather than a genuine bid from a prospective buyer. It is used to stimulate bidding, help the auction reach the seller’s reserve price, or keep the auction moving when bidding stalls. The auctioneer must clearly identify a vendor bid as such when it is cast, and it cannot be made to reach or exceed the reserve price. If the bidding does not reach the reserve, the property may be passed in, after which the seller may negotiate with the highest bidder. Different jurisdictions have specific rules about when and how vendor bids can be used, how they must be identified, and what constitutes an illegal bid (e.g., dummy or shill bids) [vendor bids are typically identified as coming from the vendor or their agent and are disclosed as such; they are not genuine offers to buy at that moment].