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Tuesday, October 23, 2012 05:11 am


Denied: Bonds

Matter of: Bob Cummins Construction Co., 2012 U.S. Comp. Gen. B-406812.2 Lexis 220 (Aug. 28, 2012)

When a bid bond's liability is not crystal clear, the bond is defective.

Bob Cummins Construction Company (Cummins) submitted a proposal for a U.S. Army Corps of Engineers (Corps) project to construct a resident engineer office building at East Branch Lake in Elk County, Pennsylvania. The Corps rejected Cummins' proposal because it did not satisfactorily guarantee the proposed price. The Corps required the winning contractor to furnish both performance and payment bonds within 10 days of contract award. The Corps found Cummins' bid bond insufficient to guarantee that a s [...]

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