If the high bidder withdraws his bid, Robert, the bid reverts to the second high bidder's bid plus one bid increment. Apparently the second high bidder at closing was at $35.50 in this case, making the $36 the winning bid. I believe 50c is the bid increment at this level; might be a dollar, but the reasoning is the same.

"All the bids between $36 and $61.88..." are wiped out as unnecessary when the bid that brought them into effect went away. This is the only way the auction can work. If the seller doesn't like the bid retraction, he should cancel the existing bids, and end the auction, and relist BEFORE the lot closes. This might also create some hard feelings, but is the only way to handle the situation within the rules of the auction. When the clock strikes, the hammer falls, and the lot is sold.