Legal Blog

Tender

Graillen Holdings Inc. v. Orangeville (Town) 2017 Ont CA

A disappointed tenderer is not awarded damages as of right merely because an owner accepts a non-compliant tender. The tenderer must still demonstrate that it would have been awarded the contract and lost profit because of the non-award. In this case, the trial judge decided that had the owner realised that the tender it accepted was non-compliant, it would not have accepted the bid of the disappointed tenderer (which used a process that the Town preferred not to use); rather, it would have re-tendered the project and the disappointed tenderer would still have lost. The Court of Appeal dismissed the appeal of the disappointed tenderer.

Written by Jonathan Speigel Jonathan Speigel, the founding partner of Speigel Nichols Fox LLP, leads the litigation and construction practices.