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B-187556 1 (1976-10-22)

handle is hein.gao/gaobadefs0001 and id is 1 raw text is: r-A rTH2 CONIPTROLLgip GENERAL -24 DECISION . OF THE UNIT3 TsA'T r=a (1) 4 Ws WASHINC3TON, D,C, 2O084B FILE: 13-187556 DATE: October 22, 16 MATTEF OF: Holloway Enterprises, Inc. DIGEST; Claim for contract prite increase because of mistake in bid iscdInied where contractor, with knowledge of mistake and withi'ut protest or reservation of right to request an upward pilce adjustment,' accepted award of contract at original bid pri.ce. The Naval Pacilitieo Engineering Comnand requests a decision on the claim of iolloway Enterprlses, Inc. (Holloway) for an upward price adjustment in cuntract No. N62477-75-C-1324 because of an alleged mistake in bid. Hollowliy su imitted a bid of .507,490.68. In view of the sizeable variance between that bid (three lower bids were rejected) and the Government estimate ($605,000) for the required janitorial servicesp HlolloayJwas orally requeiLted to verify its bid. It is reported that Hfolldway subsequently informed the Navy that a sig- nificant error wai discovered in tb bid worksheets and that with- drawal of the bid sould be requested, However, instead of requesting withdrawal, Holloway sent the followiug letter; * **After'reviewing our figures as submitted, ourCoapany hus decided that we will accept the contract.* + Holloway was awarded the contract at its original bid price on July 1, 1975. Following coppletion of the contract:, Holloway, by letter dated July 22, 7.976, alleged thst its original bid price was inadvertently based on the wage rates contained in a superseded wage determination and tequested an increase in the contract price in the amount of $44,197.98. WhLn, as in this cane, a bidder agrees to accept award at its bid price after it is adequately placed an notice of a possible mistake in its bid, the subsequent acceptance of the bid generally a

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