Request for Rescission of Contract Award

A firm requested rescission of a mistake in bid alleged after award of contract. The procuring agency recommended that the contract be rescinded on the ground that the firm's bid, which was more than six times the amount of the next high bid and almost three times the Government established upset price, should have placed the contracting officer on notice of the error. The contracting offcer was on constructive notice of the error and the bid should have been verified prior to award. Accordingly, the sales contract may be canceled without liability to the firm.