B-140900, OCT. 9, 1959

B-140900, OCT. 9, 1959

TO MR. ADAM E. SHUMAN, VETERANS ADMINISTRATION SUPPLY DEPOT:

REFERENCE IS MADE TO YOUR LETTER OF SEPTEMBER 29, 1959, REQUESTING A DECISION AS TO WHETHER THE BID OF THE ADLER COMPANY, CINCINNATI, OHIO, MAY BE DISREGARDED IN AWARDING A CONTRACT UNDER INVITATION FOR BIDS NO. M1-71- 60 ISSUED BY THE MARKETING DIVISION ON SEPTEMBER 3, 1959.

THE INVITATION REQUESTED BIDS--- TO BE OPENED SEPTEMBER 22, 1959--- FOR FURNISHING VARIOUS ITEMS OF GAUZE BANDAGES, STOCKINET AND SUSPENSORIES. ITEM NO. 8 COVERED 144 PACKAGES OF SUSPENSORIES. IN RESPONSE TO THE INVITATION, THE ADLER COMPANY SUBMITTED ITS BID ON FOUR ITEMS, INCLUDING A BID OF $3.92 PER PACKAGE ON ITEM NO. 8. THE ONLY OTHER BID RECEIVED ON THIS ITEM WAS IN THE AMOUNT OF $4.285 PER PACKAGE. SINCE IT WAS NOTED THAT THE ADLER COMPANY WAS BIDDING ON SUSPENSORIES ALTHOUGH IT DOES NOT MANUFACTURE THEM, CONFIRMATION OF THE BID WAS REQUESTED BY TELEGRAM OF SEPTEMBER 23, 1959. IN ITS LETTER DATED SEPTEMBER 24, 1959, THE BIDDER REQUESTED THAT ITS BID ON ITEM NO. 8 BE DISREGARDED, ALLEGING ERROR IN BIDDING ON THAT ITEM, STATING THAT IT DOES NOT MANUFACTURE SUSPENSORIES AND THAT IT MISREAD THE ITEM, THINKING THAT IT CALLED FOR STOCKINET.

IN VIEW OF THE FACTS AS REPORTED AND SHOWN BY THE FILE, IT MAY BE REGARDED AS SATISFACTORILY ESTABLISHED THAT THE ADLER COMPANY MADE A BONA FIDE ERROR IN ITS BID AS ALLEGED AND EXPLAINED BY IT. AS STATED IN YOUR LETTER, THE PROBABILITY OF ERROR WAS APPARENT WHEN THE BIDS WERE OPENED, IT BEING KNOWN THAT THE ADLER COMPANY DOES NOT MANUFACTURE SUSPENSORIES. FOR THE REASONS ABOVE INDICATED AND SINCE THE ERROR WAS ALLEGED BEFORE AWARD, THE BID OF THE ADLER COMPANY MAY BE DISREGARDED AS TO ITEM NO. 8.