Process and apparatus for conducting auctions over electronic networks

Abstract

An apparatus and process for conducting auctions, specifically municipal bond auctions, over electronic networks, particularly the Internet, is disclosed. The auctioneer maintains a web site from which information about bonds to be auctioned can be obtained. A user participates in the auction by accessing the web site via a conventional Internet browser and is led through a sequence of screens that perform the functions of verifying the user's identity, assisting the user in preparing a bid, verifying that the bid conforms to the rules of the auction, displaying to the user during the course of the auction selected bid information regarding bids received and informing the bidder how much time remains in the auction. The user may be given the option of confirming the accuracy of his bid before submitting the bid. The auctioneer is able to review bidding history, determine the winner and notify the winner over the network, and display selected auction results to bidders and observers over the network.

1 - 64 . (canceled) 
     
     
         65 . A bidder's computer connected to an auctioneer computer via an electronic network, the bidder's computer comprising:
 a security processor for providing a bidder identifier and password;   an information presenter processor that selectively presents auction terms and conditions, and a description of a financial instrument being auctioned;   an electronic verifier processor, in response to bidder input, provides electronic verification indicating that the bidder has read and agrees to certain legal terms associated with auctioning the financial instrument;   a real-time auction user interface processor configured to enable the bidder to participate in a real time auction of the financial instrument over the electronic network, the real-time auction user interface including:
 user bid processor, provided on the bidder's computer in the form of downloaded applets, configured to present the bidder with a series of screens to guide the bidder through a bidding process and provide the bidder with computational assistance in preparing a bid, the software including a bid formulator that enables the bidder to prepare a tentative bid, review it and modify it before submitting it, including recalculating and refreshing display of aspects of the bid, including calculated yield or prices associated with bid entries before submitting them as a bid; 
 a bid submitter that enables the bidder to submit the bid; 
 a notification interface receiver that, in response to received notification information, automatically notifies the bidder in real time when a submitted bid does not conform to issuer's specifications in a Notice of Sale with a description of any non-conforming entry; 
 an auction clock display processor that receives official auction time over the Internet and graphically displays information keeping the bidder informed in real time of time remaining in the auction; and 
   a communication processor communicating with the security processor, electronic verifier processor and the bid submitter, the communication processor communicating the bidder identifier and password, the electronic verification and the bid over the electronic network to the auctioneer computer.