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COA affirms judgment in favor of contractor in bid dispute

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The Indiana Court of Appeals has found that a school corporation seeking bids for renovations did not acquire the right to enforce a construction company’s mistaken bid.

In East Porter County School Corp. v. Gough, Inc., and Travelers Casualty and Surety Co. of America, No. 64A04-1109-PL-471, East Porter County School Corp. sought bids for additions and renovations. Bids had to be in by 2 p.m. Feb. 5, 2008, and the bids would be opened publicly at 2 p.m. Gough Inc. submitted a bid to complete certain work with a base bid amount of $2,997,000.

Just before the bids went public, Gough realized its bid was based on mistaken information within the company and tried to have the bid pulled. The company didn’t reach anyone with the school corporation until after 2 p.m. Gough’s was the lowest bid, so the school accepted it and tried to force Gough to honor the bid. Eventually the school approved the project to the second-lowest bidder and then sought to claim the bid bond Travelers Casualty and Surety has on the Gough bid. Travelers denied the claim.

Gough filed a complaint for declaratory judgment seeking that its bid be rescinded and its bid bond released. The trial court ruled in favor of Gough, granting summary judgment for Gough and Travelers and against the school.

“Based upon the record and under the circumstances presented in this case, we conclude that it is evident that there was not a meeting of the minds regarding the bid amount and thus that the School did not acquire the right to enforce Gough’s erroneous or mistaken bid,” wrote Judge Elaine Brown.

The appellate court cited Bd. Of Sch. Commr’s of City of Indianapolis v. Bender, 36 Ind. Ap. 164, 72 N.E. 154 (1904), in its decision. The judges also agreed with the trial court that Travelers should be released from its bid bond because Gough didn’t have any liability on the underlying contract.

 

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  1. by the time anybody gets to such files they will probably have been totally vacuumed anyways. they're pros at this at universities. anything to protect their incomes. Still, a laudable attempt. Let's go for throat though: how about the idea of unionizing football college football players so they can get a fair shake for their work? then if one of the players is a pain in the neck cut them loose instead of protecting them. if that kills the big programs, great, what do they have to do with learning anyways? nada. just another way for universities to rake in the billions even as they skate from paying taxes with their bogus "nonprofit" status.

  2. Um the affidavit from the lawyer is admissible, competent evidence of reasonableness itself. And anybody who had done law work in small claims court would not have blinked at that modest fee. Where do judges come up with this stuff? Somebody is showing a lack of experience and it wasn't the lawyers

  3. My children were taken away a year ago due to drugs, and u struggled to get things on track, and now that I have been passing drug screens for almost 6 months now and not missing visits they have already filed to take my rights away. I need help.....I can't loose my babies. Plz feel free to call if u can help. Sarah at 765-865-7589

  4. Females now rule over every appellate court in Indiana, and from the federal southern district, as well as at the head of many judicial agencies. Give me a break, ladies! Can we men organize guy-only clubs to tell our sob stories about being too sexy for our shirts and not being picked for appellate court openings? Nope, that would be sexist! Ah modernity, such a ball of confusion. https://www.youtube.com/watch?v=QmRsWdK0PRI

  5. LOL thanks Jennifer, thanks to me for reading, but not reading closely enough! I thought about it after posting and realized such is just what was reported. My bad. NOW ... how about reporting who the attorneys were raking in the Purdue alum dollars?

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