Construction Law

Factors to Consider During the Bidding Process Part 2

In this two-part article series, we are giving an overview of the concerns owners, contractors, and subcontractors should have during the bidding process. In this last part, we’ll take a look at the concerns of subcontractors during the bidding process and briefly discuss bid protests. Part 1 covers contractors and owners.

For Subcontractors

The subcontractor’s concern is with getting their bids to the contractor in a timely fashion. This can be a down to the last minute process; still, it is crucial subcontractors do their diligence before submitting a bid to a contractor and accepting a contract. This includes checking the bid for errors and making sure the time and resources are realistic and available on both parts of the contractor and subcontractor. Once a contract has been accepted by the subcontractor, it is legally binding. Subcontractors should also be concerned with the possibility that the general contractor may try to lower the cost of paying the subcontractor or replace the subcontractor with another subcontractor altogether. If this is an issue, our Sarasota construction attorneys recommended subcontractors take legal action against a contractor that does this after a project has been won.

Bid Protests

It is important that each professional conduct the bidding process in an ethical manner, but also look out for their own best interest. Bottom line, everyone wants to make a profit and some will use scrupulous methods to do so. Either way, you want to avoid a bid protest which can be used to object a bid that has been awarded to someone else for various reasons. This is why it’s always beneficial to have legal counsel available should the need arise.

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Disclaimer: The information contained in this article is for general educational information only. This information does not constitute legal advice, is not intended to constitute legal advice, nor should it be relied upon as legal advice for your specific factual pattern or situation.