B-218239: Mar 5, 1985

A firm protested an Army contract award, contending that the prices the lowest bidders submitted were too low to support the work. The protester asserted that a buy-in, which is the submission of a below-cost bid with increases expected in the contract amount through excessive price changes, would restrict free and open competition. GAO has held that there is no legal basis to object to an award o...

B-218239: Mar 5, 1985

BIDS - PRICES - BELOW COST - NOT BASIS FOR PRECLUDING AWARD DIGEST: THERE IS NO LEGAL BASIS TO OBJECT TO A BELOW-COST BID. WHETHER A BIDDER CAN MEET CONTRACT REQUIREMENTS IN LIGHT OF ITS LOW PRICE IS A MATTER OF BIDDER RESPONSIBILITY. THE AFFIRMATIVE DETERMINATION OF WHICH IS NOT REVIEWED BY GAO EXCEPT IN CIRCUMSTANCES NOT PRESENT IN THIS CASE. EASA'S COMPLAINT IS THAT PRICES BID BY THE SIX LOWEST...