Hibbs v. Arensberg

119 A. 727 (1923)

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Hibbs v. Arensberg

Pennsylvania Supreme Court
119 A. 727 (1923)

EL

Facts

A school board (defendant) solicited bids for a contract to construct a new school building. The architect who created the bidding guidelines did not copy enough plans to distribute the required specifications to all interested potential contractors. As a result, some reputable contractors did not have the chance to place a bid. At a school board meeting, all the bids submitted were rejected as being priced too high. At the following meeting, contractors again offered bids. The school board accepted the bid of the fourth lowest bidder, Republic Construction Co. (Republic) (defendant). The board failed to investigate the work experience, judgment, efficiency, and financial standing of the three lower bidders. Representatives of the school district’s taxpayers (the taxpayers) (plaintiffs) sued the school board and Republic Construction Co. in state court, seeking an injunction to stop the board from awarding the contract to Republic. The trial court censured the board’s bidding process, but ultimately held the contract award was valid. The taxpayers appealed to the Pennsylvania Supreme Court.

Rule of Law

Issue

Holding and Reasoning (Kephart, J.)

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