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contractlaw123@

Active Member
25 August 2020
5
0
31
Hi quick question, if a council issues a tender request and you file a tender and the council accepts the offers, but then you change your mind. Can the council do a legal action against you saying arguing that it is enforceable.

Thanks
 

Harry De Elle

Well-Known Member
11 February 2017
63
3
199
The purpose of the the tender process is to seek a preferred supplier of goods or services, so as to then enter into a contract with the supplier. The tender is an invitation to treat not an offer. What was the nature of the acceptance? Were there any conditional agreements in place? The elements of contract law include an offer & acceptance, consideration, capacity and an intention to be legally bound (by a contract). Have all the terms and conditions been agreed to?
See Masters v Cameron (HC 1954). Was there a process contract in place which might suggest that a contract is formed ? To answer the question with greater certainty you would need to unpack the complete tender documents and the conditions and obligations of the suppliers to the bidding process and potential breaches and remedies.
 

contractlaw123@

Active Member
25 August 2020
5
0
31
In this case there is the presence of a ceremonial signing, would the lack of signature present itself as a problem in proving that the tender was binding?
 

Harry De Elle

Well-Known Member
11 February 2017
63
3
199
In the event that certain formalities were not satisfied, evidence by words or conduct may prove otherwise.
 

contractlaw123@

Active Member
25 August 2020
5
0
31
Can the postal acceptance rule play a part in making this case drop. What I mean is, the date by which the tender needed to be submitted was 12 March 2021 and even though the tender was submitted at 11 March 2021, due to a strike off it reached council by 24 March 2021. Can it be argued that the tender is therefore invalid? However, not too sure about this as on the call for tender it is specifically written that all tenders that are given in prescribed form (template was provided) and specified time will be considered. So that would mean that in this case the council is giving the offer instead thinking of the case Blackpool & Flyde v Blackpool Borough. So under that it is the contractor doing acceptance instead of council? I dont know if the case of Harvela Investment will be applied here because there is no mentioning in the call to tender that the lowest offer will be considered, which is the scenario that has occurred in this case unfortunately?
 
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