The mechanism only works when you can see what you are bidding against, and that is where Saskatchewan differs from markets built around open bidding wars. Offers here are typically not shared with other buyers unless the seller chooses to disclose them, so an escalation clause tied to a number you can never verify may not trigger the way you expect.
Because the clause becomes binding the moment it is accepted, having a lawyer check the wording as part of a standard $800 to $1,500 legal review before you submit the offer, rather than after, is the safer order of operations.
An escalation clause can help you compete without wildly overbidding, but only when the cap, the increment and what counts as proof of a competing offer are all spelled out in writing. Get your hand-reviewed valuation from Joel Dyck.