Kennedy Temporaries v. Comptroller of the Treasury

468 A.2d 1026 (1984)

From our private database of 45,900+ case briefs, written and edited by humans—never with AI.

Kennedy Temporaries v. Comptroller of the Treasury

Maryland Court of Special Appeals
468 A.2d 1026 (1984)

  • Written by Liz Nakamura, JD

Facts

Maryland’s Comptroller of the Treasury (Comptroller) (defendant) invited companies to submit bids to provide temporary tax workers for the processing of income tax returns. The invitation included a memorandum on the state’s procurement law, including that all bids must be accompanied by a bid bond equal to at least 5 percent of the bid price in the form of a bond or pledge of securities. The two lowest bids were submitted by Kennedy Temporaries (Kennedy) (plaintiff) and Bay Services, Inc., coming in at $621,502 and $608,159, respectively. Bay Services included a $30,000 bid bond, which was $407 less than 5 percent of its bid price. Kennedy submitted a $50,000 guarantee letter from Maryland National Bank. Kennedy noticed the $407 shortfall on Bay Services’ bid bond and called the Comptroller to complain; however, Kennedy never submitted a written protest. Pursuant to state regulations, the Comptroller exercised its discretion to waive the $407 shortfall on Bay Services’ bid bond as nonsubstantial because the $407 shortfall was less than the approximately $13,000 difference in price between Bay Services’ bid and Kennedy’s bid. The Comptroller accepted Bay Services’ bid. Kennedy appealed to the Board of Contract Appeals (Board) and sought damages. The Board sustained Kennedy’s appeal, holding that the Comptroller’s statutory discretion to waive nonsubstantial bid bond deficiencies was void because it contradicted the state’s procurement law requirement that all bid bonds be greater than, or equal to, 5 percent of the bid price. The Comptroller appealed to the Baltimore City Circuit Court. The court affirmed the board’s decision but barred Kennedy’s damages claim on sovereign-immunity grounds. Kennedy and the Comptroller both appealed to the Maryland Court of Special Appeals.

Rule of Law

Issue

Holding and Reasoning (Wilner, J.)

What to do next…

  1. Unlock this case brief with a free (no-commitment) trial membership of Quimbee.

    You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 742,000 law students since 2011. Some law schools—such as Yale, Berkeley, and Northwestern—even subscribe directly to Quimbee for all their law students.

    Unlock this case briefRead our student testimonials
  2. Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.

    Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students.

    Learn about our approachRead more about Quimbee

Here's why 742,000 law students have relied on our case briefs:

  • Written by law professors and practitioners, not other law students. 45,900 briefs, keyed to 984 casebooks. Top-notch customer support.
  • The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
  • Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
  • Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.

Access this case brief for FREE

With a 7-day free trial membership
Here's why 742,000 law students have relied on our case briefs:
  • Reliable - written by law professors and practitioners, not other law students
  • The right length and amount of information - includes the facts, issue, rule of law, holding and reasoning, and any concurrences and dissents
  • Access in your class - works on your mobile and tablet
  • 45,900 briefs - keyed to 984 casebooks
  • Uniform format for every case brief
  • Written in plain English - not in legalese and not just repeating the court's language
  • Massive library of related video lessons - and practice questions
  • Top-notch customer support

Access this case brief for FREE

With a 7-day free trial membership