"Dorrigo looked up. A large dog stood at the top of the dune. Above blood-jagged drool, its slobbery mouth clutched a twitching fairy penguin."
The Literary Review says the purpose of the award is to draw attention to poorly written, perfunctory or redundant passages of sexual description in modern fiction and to discourage them.
The prize doesn't cover pornography or erotic literature.
Literary Review senior editor Jonathan Beckman says the 2014 shortlist is one of the strongest in years.
"Flanagan swaddles the encounter in so many abstract nouns that the whole experience becomes very obscure and desexualised," he told The Guardian newspaper.
But the Australian faces some stiff competition.
Wilbur Smith writes in Desert God that: "Her body was hairless. Her pudenda were also entirely devoid of hair."
In Things to Make and Break, author May-Lan Tan writes: "She comes and comes, waves of hot silk - I grit my teeth and push her off. I bend her over and really give it to her."
Then there is this, from Saskia Goldschmidt's The Hormone Factory: "I unbuttoned my pants, pushing them down past my hips, and my beast, finally released from its cage, sprang up wildly."
Eventually, the reader learns, "the beast found its way in".
Others on the shortlist include previous Booker winner Ben Okri, former Pulitzer Prize winner Michael Cunningham and Japanese novelist Haruki Murakami.
Andrew Marr's Head of State was considered but while the sex scene starts badly enough - "they bucked like deer and squirmed like eels. And after that, vice-versa" - the judges said it "failed to sustain its early promise".
The winner of the Bad Sex in Fiction award will be announced on December 3.
- AAP