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Hypothetical Consignment Scenario
Proofmorgan
Posts: 808 ✭✭✭✭✭
You consign a nice high-end coin in a rattler holder (5 figures). The auction company breaks the holder.
How do you see this being resolved?
I can see the go-to options for the auction company to be to offer to re-holder/sticker it for free or maybe pay the market value assigned to the grade on the original holder. We all know the rattler potentially carries a significant premium, but how would they quantify that or are you SOL?
Thoughts?
Collector of Original Early Gold with beginnings in Proof Morgan collecting.
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How did the holder break? Seems likely that the coin was in the care custody & control of the Auction House but we don't know that as a fact that is not in dispute. Is there a consignment contract that addresses potential liability issues?
Experience the World through Numismatics...it's more than you can imagine.
Let’s say someone from the auction company handling it simply dropped it on the floor.
Seems to be a viable negligence claim... but the consignment contract would likely dictate how the claim should be resolved. And it may address the measure of damages and what might be recoverable. It is not uncommon for there to be an arbitration clause in the contract.
Experience the World through Numismatics...it's more than you can imagine.
Ouch.
I'd imagine you're just out of luck, beyond a free reholder. Perhaps if you took it to court and could prove the holder substantially increased the value, you might get the rattler premium in a settlement.
You might be cooked. Best bet would be to send it back to PCGS for a reconsideration on the company.
God comes first in everything I do. I’m dedicated to serving Him with my whole life. Coin collecting is just a hobby—but even in that, I seek to honor Him. ✝️
Think of how much that Gen 1 White Rattler Lib Head $20 brought on GC. How would you even quantify the value of the holder if it were to get damaged before the auction kicked off?
Things that nightmares are made of when handling super premium slabs.
The auction people should make good on it all and get it a re do
What generation rattler?
God comes first in everything I do. I’m dedicated to serving Him with my whole life. Coin collecting is just a hobby—but even in that, I seek to honor Him. ✝️
It would be hard, but not impossible to get compensation on the rattler premium. If you took them to court, you would almost need a judge who has some experience in numismatics to understand why you and an auction company are fighting over old plastic.
Let's go with 1.2 to keep it to a more likely scenario
Here's a better question - what percentage of the coin's worth was due to the plastic?
That's the "million dollar question".
Personally, if it's not a 108 series rattler I don't think the holder is the cause of the premium (if there even is to be a premium) moreso than crackout potential.
Two like-coins in a rattler vs. a new holder (all else being equal) would prove otherwise if you look at auction data.
For a coin and holder with a substantial premium, and the holder completely destroyed, I would think the auction house may likely pay the market price for the old holder item to right the consignor, and keep good reputation among the community. But, there are many nuances and context differences that I am sure this scenario could play out in countless ways. If the holder arrived in an extremely fragile state, I am sure that would change the outcome.
"But seek ye first the kingdom of God and His righteousness and all these things shall be added unto you" Matthew 6:33. Young fellow suffering from Bust Half fever.
BHNC #AN-10
JRCS #1606
Correct, but is that because the holder is old or because the coin may be undergraded?