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A Small Municipality Advertised in Several Newspapers a Call for Tenders

Question 119

True/False

A small municipality advertised in several newspapers a call for tenders to complete road construction.After the tenders had been submitted 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 that had bid on the advertised tender joined forces and brought a suit against the municipality.They will be successful.

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