The traditional Live Auction takes place on the last day of the Faire. This is when unique items, including some of the Faire builds, sometimes even whole Fairelands, are auctioned off to benefit Relay For Life.
Bidding in the Live Auction happens through SL text chat. You listen to the auctioneer, Her High Faireness Elizabeth Tinsley, on Fantasy Faire Radio’s stream and text-shout your bids in response. If you listen/watch the auction from elsewhere, you can IM bids to a defined exec, and bid by proxy.