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Triple A Contractors, Inc. v. Rural Water District No. 4, Neosho County

Kansas Supreme Court
603 P.2d 184 (1979)


Facts

On March 4, 1976, Rural Water District No. 4, Neosho County, Kansas (Rural Water) (defendant) issued an invitation for bids for the construction of a water distribution and storage system. In order to guarantee that the selected contractor entered into a construction contract, Rural Water required that contractors submit bids with a bid bond in the amount of 5% of the total bid. On March 24, 1976, the bids were opened. Triple A Contractors, Inc. (Triple A) (plaintiff) had submitted the lowest bid for $812,753.00. This bid was $169,079.50 lower than the second lowest bid. Triple A’s bid was low enough that both parties suspected an error had occurred. On March 27, 1976, Triple A discovered a clerical error. On March 29, 1976, Triple A informed Rural Water’s engineer of the error. On March 31, 1976, Triple A sent a letter requesting that Rural Water allow Triple A to withdraw its bid. On April 21, 1976, Rural Water’s board voted to accept Triple A’s bid. Triple A rejected the contract and brought suit seeking a cancellation of its bid and its bid bond. The district court held that Triple A’s unilateral mistake would not excuse Triple A’s nonperformance of the bid contract and denied Triple A’s petition. Triple A appealed.

Rule of Law

Issue

Holding and Reasoning (Per curiam)

Dissent (Prager, J.)

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