Many subs submit their bids on proposal
forms that also serve as a subcontract
after both parties have
signed. If you fail to accept the proposal,
however, or somehow qualify
your acceptance, you may end up
without a contract and without a remedy
when the subcontractor fails to
perform.
Yes, No, or Maybe?
The North Carolina Court of
Appeals emphasized the established
rule of definitive acceptances in the
case of Henderson & Corbin, Inc. v.
West Carteret Water Corporation.
Henderson & Corbin (HCI) submitted
a bid for the construction of West
Carteret's water treatment plant. In
exchange for the privilege of submitting
a bid, HCI agreed to keep its bid
open for 60 days. In the meantime,
however, HCI discovered that