Ron Engineering Case Study

Ex. Owner gets plans for some project from an engineering firm. The plans are flawed. A general contractor also hired by the owner relies on the information provided by the engineering firm and because of the flaws in the plans they run over budget.

v. This is applicable to our case because the negotiation and contract signing payments can be considered arrangement considerations because the payments are fixed and therefore, should be allocated over the three

Contract A / Contract B: Contract A or unilateral “tendering contract” – offer by Owner to many bidders to enter into Contract A and offer by tenderer to enter into bilateral Contract B - arises on submission of valid tender, with terms determined by tender documents:

52.249-8(c) Except for defaults of subcontractors at any tier, the Contractor shall not be liable for any excess costs if the failure to perform the contract arises from causes beyond the control and without the fault or negligence of the Contractor. Examples of such causes include

In this case of Superior Dispatch Inc. prevalent claims in its objection that Inscorp neglected to give notification of the one-year contractual constraints procurement, as needed by segment 2695.4, subdivision whenever and that Superior had no genuine learning of the procurement. These charges identifying with notification of the strategy terms concern the nondisclosure of realities, instead of legitimate conclusions.

Another aspect of the FAR that is mentioned by the contractor is the factor that there was no solicitation number

Interested parties can view all the bids at this time, although they don't have access to the bidders' financial data and other proprietary information. Then contract is awarded to the company with the lowest bid. The Contracting office will then make sure the lowest bidder has submitted their bids on time and in accordance with the instructions and requirements of the IFB. In addition to making sure they have fulfilled all requirements that were outlined in the IFB they also evaluate the bidder's level of responsibility based on the company's means to fulfill all the contract requirements. Due to the fact this process is very rigorous this process is monitor to ensure sure strict rules are applied and followed.

A bid is unbalanced when some contractors use this method to profit greatly on a project. Contractors do this by changing unit prices of various bid items to the point where the price does not reflect the true cost of those items. The unit-price contract is implied to an unbalancing bid. An example of how a bid could be unbalanced occurs when a contractor uses the method of unstable bidding by overbidding in the beginning of the contract in order to reduce his finances and then will underbid at the end of the project.

A tender process is where the payment or services offered/wanted are decided and laid out as a contract between parties.

Decision: Houlihan and Browne didn’t have a valid contract, and Houlihan will be unable to recover $1,000 from Browne.

Procurement by public entities is guided by primary law principles of transparency, equal treatment and non-discrimination, procurement laws sets up an extensive legal framework regarding the procurement of work, supply and service contracts. There are two main reasons for the use of specific procedures i.e. why contracting authorities do not just negotiate or simply buy from the closest supplier. First, it provides for more public accountability and therefore less cases of corruption practices. Additionally, tendering procedures aim to ensure the best value for money by making it necessary for suppliers to act highly competitive. As a result, market mechanisms will help in facilitating the best possible practices. In situations where market mechanisms are not effective, tender procedures might lose their effectiveness as well. If for example there is lack of competition due to certain complexities or as a result of lower bidder interest, negotiations with just one or two suppliers may be the most efficient manner to handle the process. Therefore, we discuss the inherent advantages and disadvantages of sealed bidding and contracting by negotiation as procedural frameworks for tendering.

Casturn hired a consulting company that possibly didn’t have the best interest of Casturn as its core motivation. The consulting company was paid on POTENTIAL cost savings and identification instead of a results oriented contract. Due to this structure, it became about quantity of parts that can be included in the bid instead of identifying the top say twenty percent of parts that, if managed well, could have yielded both companies a lucrative cost savings in the resourcing effort. In addition, the consulting company exited the process after the initial stages giving no one accountability to carry the resourcing effort to fruition.

Client and the contractor have same priorities. Basically, contractor will make the decision in turnkey approach and client will just accept in silent. In this project, the contractor and the client have the same focus and priorities therefore the relationship between the contractor and client is good and there is no overruns or communication problems between both sides.

There was no formal bidding process. In addition, it appeared that not all bidders were treated equally. This can be seen when the bidding process was opened back up after the contractors were narrowed down to

There is consideration present here since according to the ‘Doctrine of Consideration, ' promises will legally enforceable if you ‘ask for something in return for ' something else. Here, Ken asks for £12,000 in return for his work to build Jack 's conservatory. Therefore, when Jack ‘accordingly contacts Ken to say that he will be employing him to do the building work, ' Jack has accepted Ken 's offer, and both parties have entered into a legally binding contract. Jack 's statement qualifies as an acceptance since there is correspondence between the two parties, whereby both the offer and acceptance are on the same terms; there is nexus, where the acceptance is in response to the offer; and finally, there is communication on both parts. Moreover, when Jack states that he will accept the ‘most competitive ' tender, he could argue that the recommendation from ‘Barnie, ' his ‘neighbour ' who expresses that ‘Ken is an excellent builder ' constitutes Jack 's meaning of the ‘most competitive. ' However, this is not relevant unless Bob wishes to argue in court that Jack 's proposal was indeed an invitation to tender, which constitutes an offer, as according to Harvela.