B-125806, OCT. 25, 1955

B-125806: Oct 25, 1955

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NATIONAL INSTITUTES OF HEALTH: REFERENCE IS MADE TO YOUR LETTER OF OCTOBER 13. 265 SINCE IT WAS OUT OF LINE WITH THE TEN OTHER DEALERS' BID OF $2. THERE IS NO DOUBT THAT THE COMPANY MADE A BONA FIDE ERROR IN ITS BID. SINCE IT WAS BELIEVED THE BID WAS ERRONEOUS AND SINCE SUCH BELIEF WAS CONFIRMED AND THE ERROR WAS EXPLAINED BY THE COMPANY PRIOR TO AWARD.

B-125806, OCT. 25, 1955

TO MR. DONALD R. WATSON, CONTRACTING OFFICER, NATIONAL INSTITUTES OF HEALTH:

REFERENCE IS MADE TO YOUR LETTER OF OCTOBER 13, 1955, WITH ENCLOSURES, FILE REFERENCE ZN-1241, REQUESTING A DECISION AS TO WHETHER A BID DATED SEPTEMBER 19, 1955, SUBMITTED BY THE MACALASTER RICKNELL COMPANY IN RESPONSE TO INVITATION NO. X102-9-22-55, MAY BE WITHDRAWN IN VIEW OF THE BIDDER'S ALLEGATION OF ERROR.

THE CONTRACTING OFFICER PROPERLY TOOK NOTICE OF THE PROBABILITY OF ERROR IN THE COMPANY'S BID OF $1,265 SINCE IT WAS OUT OF LINE WITH THE TEN OTHER DEALERS' BID OF $2,513 EACH AND THE MANUFACTURER'S BID OF $2,540. UPON BEING REQUESTED TO VERIFY THE BID, THE COMPANY ADVISED THAT IT HAD INADVERTENTLY OVERLOOKED PART OF THE SPECIFICATIONS WHEN COMPUTING ITS BID PRICE AND REQUESTED PERMISSION TO WITHDRAW THE BID.

ON THE BASIS OF THE STATEMENTS OF FACT IN YOUR LETTER OF OCTOBER 13, 1955, AND THE SUPPORTING DOCUMENTS FURNISHED, THERE IS NO DOUBT THAT THE COMPANY MADE A BONA FIDE ERROR IN ITS BID, AS ALLEGED. ACCORDINGLY, SINCE IT WAS BELIEVED THE BID WAS ERRONEOUS AND SINCE SUCH BELIEF WAS CONFIRMED AND THE ERROR WAS EXPLAINED BY THE COMPANY PRIOR TO AWARD, THE BID OF MACALASTER RICKNELL COMPANY SHOULD BE DISREGARDED IN MAKING THE AWARD.