What is a Private Treaty sale on Heritage?

Zoins

One of the coins I was following in Gardner IV that went up for auction now says it was sold by Private Treaty to an Internet Bidder. How does a Private Treaty work on Heritage?

coindeuce

Perhaps the internet bidder was unberbidder to a reserve, and Gardner had instructed Heritage to negotiate a post auction transaction if the underbid was within a certain percentage of reserve ?

BryceM

I dunno, but I've always though the term "private treaty" was somewhere between overly dramatic & ridiculous. It's not like the transaction ended World War II or established peace with the Ottoman Empire.



Of course, at those prices maybe the effect on the world economy is similar.

TopographicOceans

Maybe it is just a sale with HA acting as a middleman like an escrow?
If a buyer and seller want to do a deal but neither wants to get ripped off by the other one, the buyer sends the money to HA and then HA sends the coin to the buyer.
Once the buyer receives it, then HA pays the seller.

Hydrant

How does a private treaty work in general? What does it mean? I'm a newbie.

illini420

Don't forget that treaties must be ratified by 2/3 of the Senate



I don't care how long I deal coins and I don't care how big the value of the transaction will be, I'll never call any of my deals a "private treaty." I agree that it's overly dramatic and pretentious to call a contract to sell a coin a treaty.

messydesk

I agree that it's overly dramatic and pretentious to call a contract to sell a coin a treaty.

Maybe the receipt is written on fine parchment with a platinum-nibbed fountain pen by a master calligrapher and has a wax seal with a silk ribbon on it.

BG

Private Treaty Sales

Yorkshireman

Originally posted by: illini420
Don't forget that treaties must be ratified by 2/3 of the Senate

I don't care how long I deal coins and I don't care how big the value of the transaction will be, I'll never call any of my deals a "private treaty." I agree that it's overly dramatic and pretentious to call a contract to sell a coin a treaty.

I have always thought so as well.

BillJones

The term "private treaty" for a sale between a dealer and a collector has been around for as long as I've been reading more advanced books and papers on numismatics, which dates from the late 1960s. I don't see anything wrong with the term, which is in contrast with a sale that made via a public auction.

Nic

Perhaps a tax deferred exchange.

BAJJERFAN

the deals are generally done under wraps and never made public.

LindeDad

Originally posted by: BG







Private Treaty Sales

Very interesting read.

Thanks.

Walkerfan

Originally posted by: BAJJERFAN
the deals are generally done under wraps and never made public.

I have seen Pinnacle Rarities do this.

Then how does one know that the coin is even available??

Maybe if a well known customer is looking for said coin??

OPA

Originally posted by: Zoins
One of the coins I was following in Gardner IV that went up for auction now says it was sold by Private Treaty to an Internet Bidder. How does a Private Treaty work on Heritage?

A "private treaty" sale is when a fixed price between the buyer and seller is negotiated, rather than one that can be bid up via an auction.

BAJJERFAN

Originally posted by: Walkerfan

Originally posted by: BAJJERFAN

the deals are generally done under wraps and never made public.

I have seen Pinnacle Rarities do this.



Then how does one know that the coin is even available??



Maybe if a well known customer is looking for said coin??

Deals are promoted publicly but consummated privately?

Zoins

Originally posted by: OPA

Originally posted by: Zoins

One of the coins I was following in Gardner IV that went up for auction now says it was sold by Private Treaty to an Internet Bidder. How does a Private Treaty work on Heritage?

A "private treaty" sale is when a fixed price between the buyer and seller is negotiated, rather than one that can be bid up via an auction.

It's good to know that Heritage does this. Using this definition, some of my favorite pieces have been purchased by private treaty.

Zoins

Does this mean every time a collector sells a coin to a dealer the sale is a private treaty? Such as when there's no advertised price and the price is negotiated?