Legal Question in Construction Law in Kentucky
Failure to Comply with Bid
I own a fencing buisness. I recently supplied a bid to a contractor for fence installation around a school that was being built. The contractor's bid was accepted, so therefore, mine was too. Now I cannot go through with the bid, because the cost of materials has significantly risen and if I go through with my bid I will take a loss on the job, which will greatly affect my business. The contractor has told me that if I do not follow through with the bid they will sue me for the difference of hiring a new subcontractor. Can I be sued by the contractor if I do not perform the bid for the above stated reason. Thank you.
1 Answer from Attorneys
Re: Failure to Comply with Bid
Unfortunatlely you are on the hook. I am sure the Contractor will have to eat some costs also. This is a learning experience. I represent several contractors. What experienced bidders do is put a time limit on the bid (for expample "this bid is good for 30 days"). This alerts the general contractor to check before submitting his final bid.