Private leagues may elect to use the Free-Agent Acquisition Budget waiver system. This system allows owners to place blind bids on waived players. The team with the highest bid is awarded the player. If there is a tie, the standard tiebreaker system is used (i.e. waiver rank). The commissioner specifies the FAAB budget each team begins with as well as the minimum bid required for each bid.
When using the Minimum Winning Bid option, the winning bid amount will be adjusted to the lowest amount required to win the bid. For example, Team A wins with a bid of $10. The next highest bidder, Team B, bid $5. In a league with a $1 minimum bid, Team A's bid amount would be adjusted to $6.
Since FAAB only applies to players on waivers, it's highly recommended to either make sure Weekly Waivers are turned on or use the "Permanent Waivers" Add/Drop Policy.
Last Updated: 4/26/2012