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[Protest of Contract Award Alleging Below-Cost Bid by Awardee]

B-208455: Aug 18, 1982

A firm protested the award of an Air Force contract. The protester contended that the awardee could not make a profit at the prices quoted in the invitation for bids (IFB) and that the Government cannot award a contract to the low bidder when it is obvious that the low bidder will lose money on the contract. The protester also alleged that the awardee did not meet the quality assurance standard co...

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B-208455, AUG 18, 1982

B-208455: Aug 18, 1982

DOES NOT HAVE ADEQUATE QUALITY ASSURANCE CAPABILITY. SUCH DETERMINATIONS ARE NOT REVIEWED BY GAO EXCEPT IN CASES OF FRAUD OR BAD FAITH. THE NATURE AND EXTENT OF A PREAWARD SURVEY NEEDED TO ASSURE A CONTRACTING OFFICER THAT A FIRM WILL MEET ITS CONTRACTURAL OBLIGATION IS A MATTER FOR THE CONTRACTING OFFICER'S JUDGMENT. THAT THE GOVERNMENT CANNOT AWARD A CONTRACT TO A LOW BIDDER WHEN IT IS OBVIOUS T...

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