Learn something new every day More Info... by email
A notice of sale is a formal legal notice providing information about an upcoming sale of property, securities, or other assets. For certain types of sale, it is necessary to make a public declaration and take some other steps to make the sale valid. In other cases, it is provided as a courtesy to members of the public who may have an interest in the sale because of the contents. The newspaper of record is usually the most appropriate resource to check for sale notices.
In foreclosure and repossession proceedings, where a lender has a right to sell property to recover the cost of a nonperforming loan, the notice of sale is part of a long legal process to sell the property. The owner must receive a notice, and it must also be published. In some cases, it is posted on the property itself. The notice of sale should provide information about the time and place of the sale, as well as the opening bid, if any. It should also detail the contact information for the party exercising lien or foreclosure rights.
For securities offerings, a notice of sale is part of the process. The underwriter and company will determine the best date for an offering and provide a notice of sale, which must go up within a minimum period of time before the proposed sale date, such as at least five days in advance. It provides information about bidding and sales so interested investors know how to access the offering and how much to expect to pay.
Government agencies publish a notice of sale when they sell off surplus materials or seized materials. This legal notice usually accompanies a mass sale, where several agencies sell their inventories at once for efficiency and convenience. For seized property, it provides an option to buy back assets the government has taken, or provides notice that any injunctions against the sale must be filed immediately by property owners who believe their property was seized in error.
Companies may choose to post a notice of sale when they are not legally required to do so if they want to draw attention to the sale. They can add it to general announcement notices in the newspaper in addition to posting it in public locations. The notice can provide buyers with information about where to go for the sale and when. It also offers information about terms, such as the need to provide a deposit to bid in a fine art auction. This ensures that prospective buyers have all the information they need to participate.