Definition
The minimum price set for the auction sale of secured assets by a secured creditor under SARFAESI or by the Recovery Officer under the DRT. The reserve price must be fixed based on a valuation report. If no bid is received at or above the reserve price, the auction fails and must be re-conducted.
Need Expert Advice on Reserve Price?
For specific advice on how Reserve Price applies to your debt recovery matter, consult Advocate Subodh Bajpai — LLM, MBA (XLRI Jamshedpur). 25+ years of exclusive banking and debt recovery practice across DRT, SARFAESI, IBC, and NI Act.
Defined by Advocate Subodh Bajpai, Senior Partner, Unified Chambers and Associates