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B-183911 1 (1975-08-08)

handle is hein.gao/gaobadixv0001 and id is 1 raw text is: '\ THE COMPTROLLER GENERAL DECISION • - OF THE UNITED STATES WASHINGTON, D. C. 20548 FILE: B-183911 DATE: August 8, 1975 MATTER OF: Hygrade Food Products Corporation DIGEST: Where high bidder's price for cooked and uncooked bones offered for sale by Defense Supply Agency exceeded next high bid by 2.32 times, was 1.84 times the current market appraisal, and was inconsistent with the overall bidding pattern of other bidders, sales contracting officer was on constructive notice of error in bid alleged after award. Since no verification of high bid was re- quested or made, there is no objection to reformation of contract to extent of next high bid for period prior to termination of the contract by bidder. Invitation for bids (IFB) on Term Sale 41-5244 was issued by the Defense Property Disposal Service (DPDS) for the sale of meat trimmings, bones and fats. Hygrade Food Products Corpora- tion (Hygrade) submitted a bid for items 17, 18, and 19 as follows: Unit Total Quantity Unit Price Price 17. BONES, FATS AND MEAT TRIMMING: Including cracklings, cooked and uncooked. 800,000 POUND .0261 $20,880. 18. BONES: Cooked and uncooked and meat trimmings, including cracklings. 360,000 POUND . 092 $33,120. 19. FATS: Uncooked and unrendered. 300,000 POUND .0234 $ 7,020. Bids were opened on December 17, 1974, and Hygrade, successful bidder on Item 18, was awarded Sale Contract 41-5244-011 on that Item. Shortly thereafter, Hygrade requested correction of an alleged mistake in bid for Item 18, stating that its intent was to bid $.0092 per pound. Hygrade performed the contract as to Item 18 for a 30-day period after which the contract was terminated pursuant to a notice of termination served by Hygrade under Special Sealed Bid Term Condition E, entitled Termination. - 1.-

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