A Small Municipality Advertised a "Call for Tenders" to Complete

True/False

A small municipality advertised a "call for tenders" to complete road construction in several newspapers. After the tender had been closed the job was not awarded to any of the prospective bidders. The municipality, on the recommendation of a neighbouring township contacted another firm and awarded it the contract on the basis of price and reputation. After learning of this development, the companies who had bid on the advertised tender joined forces and brought a suit against the municipality. They will be successful.