Sec. 101.1103  Competitive bidding mechanisms.

    (a) Sequencing. The Commission will establish and may vary the 
sequence in which LMDS licenses are auctioned.
    (b) Grouping. The Commission will determine which licenses will be 
auctioned simultaneously or in combination based on interdependency and 
administrative circumstances.
    (c) Minimum bid increments. The Commission may, by public 
announcement before or during an auction, require minimum bid increments 
in dollar or percentage terms.
    (d) Stopping rules. The Commission may establish stopping rules 
before or during an auction in order to terminate the auction within a 
reasonable time.
    (e) Activity rules. The Commission may establish activity rules 
which require a minimum amount of bidding activity. In the event that 
the Commission establishes an activity rule in connection with a 
simultaneous multiple round auction, each bidder may request waivers of 
such rule during the auction. The Commission may, by public announcement 
either before or during the auction, specify or vary the number of 
waivers available to each bidder.
    (f) Bid withdrawal, default and disqualification payments. The 
Commission will impose payments on bidders who withdraw high bids during 
the course of an auction, who default on payments due after an auction 
terminates, or who are disqualified. Payments will be calculated as set 
forth in Secs. 1.2104(g) and 1.2109 of this chapter. When the amount of 
such a payment cannot be determined, a deposit of up to 20 percent of 
the amount bid on the license will be required.
    (g) Tie bids. Where a tie bid occurs, the high bidder will be 
determined by the order in which the bids were received by the 
Commission.