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Boise Junior College District v. Mattefs Construction Co.

Idaho Supreme Court
450 P.2d 604 (1969)


Facts

Mattefs Construction Co. (Mattefs) (defendant) submitted a bid of $141,048 for a construction contract with Boise Junior College District (Boise). Boise expected to pay $150,000 for the construction project. Mattefs’ bid contained a customary bid bond involving a promise to pay the difference between its bid and the next higher bid actually accepted by Boise if Mattefs refused to contract with Boise for some reason. Unbeknownst to Mattefs at the time, its bid contained a clerical error which, if corrected, would have made Mattefs’ costs around $151,000 rather than $141,048. Boise ultimately awarded the contract to Mattefs, but Mattefs refused to sign the contract. Boise awarded the contract to the next higher bidder, Cain and Hardy, Inc., who bid $148, 915. Boise then brought suit against Mattefs in Idaho state court seeking to recover the difference in price between Mattefs’ bid and Cain and Hardy, Inc.’s bid. Mattefs sought the equitable remedy of rescission based on its clerical error. The trial court permitted rescission for Mattefs, and Boise appealed.

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Holding and Reasoning (Spear, J.)

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