According to Article 14 of the Provisions of the Supreme People's Court on Auction and Sale of Property in Civil Execution of People's Courts:
The people's court shall, five days before the auction, notify the parties concerned and the known holders of security interests, preemptive rights or other priority persons to be present on the auction day in writing or in other appropriate ways that can confirm receipt.
If the preemptive right holder is not present after the notice, it shall be deemed as giving up the preemptive right.
Extended data:
The process of compulsory auction by the court is as follows:
In the process of execution, the court auctioned the property of the person subjected to execution to realize the legitimate rights and interests of the creditor's rights. The compulsory auction process can be roughly divided into the following stages:
1, evaluation price
Evaluating the price is the pre-procedure of auction. Before the property seized, detained or frozen by the person subjected to execution is realized, the court shall entrust a legally established asset appraisal institution with corresponding qualifications to evaluate its price. For the evaluation results, the court shall timely deliver the evaluation report to the enforcement party. If the parties have any objection to the evaluation results, they may request a reconsideration to the court, and the court will then request the evaluation agency for reconsideration.
2. Make a compulsory auction decision.
After the price evaluation is completed, the court may organize the enforcement parties to negotiate and pay off the property of the person subjected to execution to the applicant according to the evaluated price. If both parties fail to reach an agreement on paying debts in kind, the court shall make a decision to auction the property of the person subjected to execution. If the person subjected to execution requests to sell the property by himself, the court may grant permission in accordance with the provisions of Article 48 of the Enforcement Regulations.
3, determine and entrust the auction agency
The selection of auction institutions shall be handled in accordance with the Provisions of the Supreme People's Court on Several Issues Concerning Freezing the Auction of State-owned Shares and Social Legal Person Shares of Listed Companies (hereinafter referred to as "Several Provisions") and the uniform provisions made by the Supreme Court and entrusted by the technical department of the court. Auction of shares of listed companies shall be handled in strict accordance with the provisions of Several Provisions.
Courts should not choose auction institutions ex officio. When the court auctions other properties, it should first adopt the principle of adversary system. If both parties fail to reach an agreement, the court will choose the auction institution ex officio.
After the auction institution is determined, the court negotiates with the auction institution and signs an auction contract. An auction contract must be in written form, and contain the necessary terms such as the auction target, auction commission and payment of auction price.
4. After accepting the entrustment of the court, the auction institution that issued the announcement and displayed the target will make the announcement and display of the auction in strict accordance with the provisions of the law and the contract. On major issues such as auction scheme and auction announcement, the auction institution shall solicit the opinions of the court and obtain the consent and active cooperation of the court.
5. Determine the auction floor price.
Before the auction is held, the court shall determine the auction reserve price according to the evaluation price and inform the auction institution. The auction reserve price shall be equal to or lower than the evaluation price, and shall not exceed the evaluation price. The reserve price of auction is the lowest price of auction transaction. If the highest auction price is lower than the reserve price, no transaction may be made. If no one bids for the first auction, the court will determine the reserve price for the second auction according to market conditions.
Step 6 hold an auction
When an auction is held, the court should generally send personnel to supervise the auction and record the auction; Auction institutions may also invite notaries to be present for notarization. If the auction is completed, the auction institution and the buyer shall sign a confirmation letter of completion, and immediately pay off the money and goods, or pay in installments according to the contract. If a bidder pays by installments, it shall obtain the consent of the court.
7. Confirm that the auction is over.
The court shall review the auction results according to law, and if it finds that the auction institution colludes with bidders or bidders maliciously, causing damage to others, it will rule that the auction is invalid according to law; If the above situation is not found in the review, the auction result shall be confirmed. After the auction result is determined, the court shall cooperate with the auction institution to deliver the auction target to the buyer.
Baidu Encyclopedia-Provisions on Auction and Sale of Property in Civil Execution of People's Courts