Damages Allowed for Sucessful Bid Protest
An Ohio appeals court recently ruled in Cementech v City of Flowood, Download file , that a disappointed bidder can recover lost profits as well as bid preparation costs in a lawsuit successfully challenging the wrongful award of a construction contract to another bidder.
Contrast this holding with our post on Hill Brothers Construction & Engineering Company, Inc. v. Mississippi Transportation Commission , a recent Mississippi Supreme Court decision, in which a majority declared damages were not recoverable.
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To Save $8 Million-- Rules Can Be Bent
In Hill Brothers Construction & Engineering Company, Inc. v. Mississippi Transportation Commission, Download file , the Mississippi Supreme Court held cost savings could be considered by a state board in deciding whether to accept a bid that did not strictly comply with the bid specifications.
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Actual Receipt of Notice Means Actual Receipt of Notice Under the Contracts Disputes Act
The difficulty of proving receipt by mail or facsimile is illustrated by last weeks decision of the Federal Circuit Court of Appeals in Riley and Ephrian Construction Company, Inc. v. United States, Download file reversing a summary judgment holding a contractor’s suit under the Contract Disputes Act was time barred because it was filed more than one year after the contracting officer mailed and faxed notice of his decision rejecting the claim.
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