Request for Modification of Contract Price Due to Alleged Error in Bid

After a contract was awarded to the lowest of three bidders, a mistake in bid due to a computation error was alleged by the awardee, who requested a modification of the contract. This request was denied by GAO because acceptance of the bid created a valid and binding contract. When the contracting officer noticed that the awardee's bid was significantly lower than the others, he informed the low bidder of the disparity and inquired whether the submitted bid was correct. The awardee confirmed the bid price by letter, but found the error in bid a month after the award of the contract. GAO maintained that the contracting officer adequately discharged his verification duty by directing the low bidder's attention to a possible error before the award was made, and the request for modification of the contract was therefore denied.