I have no problem with this system of a silent auction. I would tweak it. Make it so a team can't bid on a guy just to block a player from going somewhere else with no intention of signing him to fair market value. Because that isn't fair to the player.
(I won't ues Bos/NY for this example) FOR EXAMPLE:: say the Dodgers want a Jap player bad. But the SF Giants throw out a $55 mill bid, but they are iffy on the kid, but they just don't want LA to get him. So, SF wins the bidding..... they talk to him, throw him some lowball insulting offer. The kid refuses...and is FORCED to go back to Japan. The only one who gets hurt in this is the kid. That isn't fair to let the teams screw with players life's like this.
I would make it so the high bid gets 1 month to talk to the player. If the sides can't reach a deal, then another round of bidding takes place with the first team no longer in the running. And the first team losing HALF of their original bid. This will prevent teams from just bidding to BLOCK another team. Because if you bid $51 mill and DON'T sign the kid, you just gave away $25.5 mill for NOTHING!!!!