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B-185385 1 (1976-04-22)

handle is hein.gao/gaobaddos0001 and id is 1 raw text is: o THE COMPTROLLER GENERAL 'DEC IS 1IN 0 OF THE UNITED STAT ES WASH INGTON, D C. 20549 FILE: B-185385 DATE: April 22, 1976 MATTER OF: Walter Motor Truck Company DIGEST: 1. Where sole bid of $41,280 received on procurement was in excess of Government cost estimate ($35,000), contracting officer was not on preaward constructive notice as to possibility of mistake alleged after award. 2. Where Government estimate (approximately 18 percent less than award price) is not shown to be unreasonable or that performance of contract could not be accomplished at approximately same price as bid price, and where mere allegation is that completion of contract in alternate man- ner would cost contractor approximately 33 percent more than award price, contract is enforceable and not un- conscionable. 3. Price in fixed-price contract without price adjustment clause may not be increased due to inflation having increased cost of doing work. Invitation for bids No. DSA700-74-B-0387 was issued on July 31, 1973, by the Defense Supply Agency, Defense Construction Supply Center for one truck-mounted snowplow in accordance with MIL-S-17794C (as modified by the invitation). The Walter Motor Truck Company (Walter), the sole bidder, submitted a bid of $41,280. Because the bid contained descriptive literature of a particular Walter model, which might or might not have indicated technical deviations from the specifications, the contracting officer asked Walter to con- firm that the model conformed to the specifications. The reply was in the affirmative, and award was made to Walter on November 8, 1973. Delivery was scheduled for 370 days after date of award. - 1 -

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