Read Time: 3 minutes
It was midweek when this email came through:
“We’re heading to Fiji for school holidays. Auction’s Saturday. Can we still bid?”
Flights were locked in.
They were pre-approved and had done all the due diligence.
But they had no idea who could legally sign if they won.
The agent said, “We can do phone bidding.”
That’s when the panic set in.
“Wait... if we’re not there, who actually signs the contract?”
If your client gets this wrong, someone else becomes liable for the deal.
It’s more common than you think.
Clients assume “bidding by phone” is as simple as a quick call and a wave.
But unless you’ve checked the contract wording, you could end up with the wrong name on a binding agreement.
What matters is what’s on page one of the sale and purchase agreement.
Here’s the checklist I give every client planning to bid from overseas:
Make sure the buyer line says: “[John Smith] and/or nominee”
And that “and/or nominee” hasn’t been crossed out. This gives flexibility to nominate the real buyer later.
Pick a trusted friend or family member — not the agent — to attend the auction and bid by phone.
That person signs the agreement immediately if your bid is successful. They are legally responsible until the property settles.
After the auction, your lawyer drafts a Deed of Nomination to move the agreement from the stand-in to your client. Both parties (the nominator and nominee) sign it, then it goes to the seller’s lawyer and the bank.
If “and/or nominee” is in the agreement, the seller does not have any right to block your nomination.
Let the bank know this is happening.
Most lenders are fine with a nomination as long as they’re told before funds are needed.
