True or False: A sale by auction is automatically without reserve.

A sale by auction is not automatically without reserve; rather, it can be conducted with reserve, which means the seller has set a minimum price that must be met for the auction to conclude successfully. The term "without reserve" means that the item will be sold to the highest bidder regardless of the price reached, even if it’s below what the seller might typically accept.

In most auction practices, unless it is explicitly stated that the auction is without reserve, it is assumed that there is a reserve price. This allows sellers to protect their interests by ensuring that their items are not sold for less than a pre-determined value.

The options that suggest it is only for certain goods or only if specified by the seller misinterpret the general rules of auctions, where the seller’s rights and the auction's terms determine whether it is with or without reserve.