By Bruce Jervis
Correction of a mistaken bid is a controversial matter in the public bidding arena. It is contrary to the nature of sealed bidding to allow a bidder to alter its price after bid opening. It raises questions of impropriety and calls into question the integrity of the bidding process. This is particularly true when a bidder wants to correct its bid downward, displacing an apparent low bidder.
Despite all of these concerns, the downward correction of a mistaken bid -- and displacement of a low bidder -- is allowed under narrow circumstances. The mistake must be clerical or mathematical in nature. It cannot be an error in judgment such as failure to properly price performance costs. The nature of the mistake must be readily apparent on the face of the bid itself. And, the intended bid price must be apparent as well. The bidder cannot resort to bid-preparation worksheets to prove its intended bid price. ... Read more.
Featured in this Week’s Construction Claims Advisor:
- Owner Had No Duty to Disclose Continued Existence of Previously Known Site Condition
- Clerical Error Not Apparent on Face of Bid Package
- Supplier Disclaimed Damages for Late Delivery
By Steve Rizer
Joint-venture partnerships in construction can give rise to some very interesting legal questions. For example, if one of the joint-venture partners no longer is financially able to meet its obligations and goes under, what happens to the profits at the conclusion of the project? This is one of many questions that popped up during the “Q&A” segment of “The Fundamentals of Joint Ventures in Construction,” a 90-minute webinar that WPL Publishing hosted last week. To read how Trauner Consulting Services Inc. Director Richard Burnham responded to this inquiry, click here.
WPL Publishing has posted a 32-page report (in PDF format) containing the final results of its inaugural Construction Scheduling Software Survey on its ConstructionPro Network (CPN) website. CPN members can access the report free of charge by clicking here. Non-members can access the report either by signing up for a membership here or by purchasing it at the CPN Bookstore here. Survey participants who requested the report will receive a separate email with access instructions. We would like to thank everyone who participated in the survey and look forward to conducting research into this subject in the future.