B-144490, JAN. 9, 1961
Highlights
IN THE AMOUNT OF $17.98 PER ROLL WAS OPENED. YOU WERE REQUESTED TO VERIFY YOUR BID AS TO WHETHER IT MET SPECIFICATIONS. N67001-5535 WAS MADE TO YOU ON APRIL 18. YOU ALLEGED ERROR IN YOUR BID IN THAT THE BID PRICE WAS BASED ON 24 IN. YOU SUBMITTED TO THE PROCUREMENT ACTIVITY A LETTER FROM YOUR SUPPLIER INDICATING THAT THE MILL SOURCE WAS QUOTING ON 24 IN. FROM THE RECORD BEFORE US IT IS APPARENT THAT YOUR BID WAS EXACTLY AS IT WAS INTENDED AND THAT. YOU STILL BELIEVED THAT THE PRICE QUOTED WAS BASED ON FURNISHING MATERIAL MEETING THE ADVERTISED SPECIFICATIONS. SINCE THE REQUEST FOR VERIFICATION AFFORDED YOU EVERY OPPORTUNITY TO RECHECK YOUR QUOTATION BOTH AS TO PRICE AND SPECIFICATION REQUIREMENTS AND SINCE THE CONTRACTING OFFICER WAS NOT CHARGEABLE THEREAFTER WITH NOTICE OF ANY MISTAKE.
B-144490, JAN. 9, 1961
TO PARKS BUILDING SUPPLY CO.:
BY LETTER DATED NOVEMBER 7, 1960, WITH ENCLOSURES, YOU REQUEST THAT WE REVIEW OUR SETTLEMENT OF OCTOBER 7, 1960, WHICH DISALLOWED YOUR CLAIM FOR $995.28, REPRESENTING ADDITIONAL COMPENSATION ALLEGED TO BE DUE FOR A QUANTITY OF STEEL WIRE HARDWARE CLOTH FURNISHED UNDER CONTRACT NO. N67001- 5535, DATED APRIL 18, 1960.
ON APRIL 7, 1960, YOUR BID FOR FURNISHING 264 ROLLS OF HARDWARE CLOTH, 36 IN. WIDE IN 100 LINEAR FOOT ROLLS, IN THE AMOUNT OF $17.98 PER ROLL WAS OPENED, PURSUANT TO INVITATION FOR BIDS NO. F-151-60 DATED MARCH 23, 1960. THE SEVEN OTHER BIDS RECEIVED RANGED FROM $20.86 TO $27.41 PER ROLL. IN VIEW OF THE 16 PERCENT DIFFERENTIAL BETWEEN YOUR BID AND THE NEXT LOW BID, YOU WERE REQUESTED TO VERIFY YOUR BID AS TO WHETHER IT MET SPECIFICATIONS. ON APRIL 9, 1960, YOU INFORMED THE PROCUREMENT ACTIVITY THAT THE HARDWARE CLOTH ON WHICH YOU BID WOULD BE MANUFACTURED BY THE MID- STATES STEEL AND WIRE COMPANY AND THAT THE ARTICLE OFFERED WOULD MEET FEDERAL SPECIFICATIONS RR-W-370 AS REQUIRED BY THE INVITATION. AWARD OF CONTRACT NO. N67001-5535 WAS MADE TO YOU ON APRIL 18, 1960.
SUBSEQUENT TO AWARD, OR ABOUT MAY 5, 1960, YOU ALLEGED ERROR IN YOUR BID IN THAT THE BID PRICE WAS BASED ON 24 IN. WIDE HARDWARE CLOTH RATHER THAN ON THE 36 IN. WIDTH REQUIRED. IN SUBSTANTIATION OF THE ALLEGED ERROR, YOU SUBMITTED TO THE PROCUREMENT ACTIVITY A LETTER FROM YOUR SUPPLIER INDICATING THAT THE MILL SOURCE WAS QUOTING ON 24 IN. WIDE ROLLS. YOU ACCORDINGLY REQUESTED THAT THE CONTRACT PRICE BE INCREASED FROM $17.98 A ROLL TO $21.75 A ROLL. THE REQUESTED INCREASE WOULD THEREBY RESULT IN A CONTRACT PRICE IN EXCESS OF THAT QUOTED BY THE NEXT LOW BIDDER IN THE AMOUNT OF $20.86 PER ROLL.
FROM THE RECORD BEFORE US IT IS APPARENT THAT YOUR BID WAS EXACTLY AS IT WAS INTENDED AND THAT, WHEN YOU CONFIRMED YOUR BID PRIOR TO AWARD, YOU STILL BELIEVED THAT THE PRICE QUOTED WAS BASED ON FURNISHING MATERIAL MEETING THE ADVERTISED SPECIFICATIONS.
SINCE THE REQUEST FOR VERIFICATION AFFORDED YOU EVERY OPPORTUNITY TO RECHECK YOUR QUOTATION BOTH AS TO PRICE AND SPECIFICATION REQUIREMENTS AND SINCE THE CONTRACTING OFFICER WAS NOT CHARGEABLE THEREAFTER WITH NOTICE OF ANY MISTAKE, IT MUST BE CONCLUDED THAT THE ACCEPTANCE OF YOUR BID, AS CONFIRMED, CONSUMMATED A VALID AND BINDING CONTRACT WHICH FIXED THE RIGHTS AND LIABILITIES OF THE PARTIES. 26 COMP. GEN. 415; 29 ID. 323. IN VIEW THEREOF, NEITHER OUR OFFICE NOR ANY OFFICER OF THE GOVERNMENT MAY SURRENDER ANY RIGHTS WHICH VEST IN THE GOVERNMENT UNDER THE CONTRACT. SEE 20 COMP. GEN. 652.