Why is shill bidding so bad?

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Posted By: botn

As a fairly aggressive buyer of caramel cards on ebay as well as most other auctions I have been contacted by collectors to back off of certain lots. Out of respect for them, I have done so knowing that this same thing is probably happening to me when I list stuff on ebay.

I think that it is clear that shill bidding is fraud and there are many known auction houses that have found themselves in serious legal trouble for participating in these deceptive practices. Deciding to not bid on a lot, as a gesture to a friend, is also a form of price fixing, however it is not illegal, despite it being unethical from the seller's point of view.

I do not condone, endorse or employ shill bidding in my ebay listings. But as a buyer I do not really care if a seller does it. It is always great to pay less for an item than you had budgeted for but I know what I am willing to pay for items that I bid on.

Greg