Written by Werner van Rooyen
Those experienced with tender responses are likely aware that it is standard practice for procuring entities to request an extension of the bid price validity period. We have received several inquiries concerning this extension.
The client has mentioned that three companies are competing for an Organ of State tender, which is rather complex. The Organ of State has requested this validity extension. However, the client suspects that there may be other influences at play and wishes to advocate for the cancellation of the tender. The key question is: if they refuse the validity extension, is there any legal obligation for the Organ of State to cancel the tender?
While we are not legal consultants or attorneys, and cannot provide legal opinions, we can offer insights into the tender process. Here’s our perspective on the situation described:
- Stay vigilant about any potential extensions of validity that may arise from the tender you are addressing.
- Keep an eye on your fax machine—if you still utilize a landline fax—as Organs of State often prefer to send validity extension requests via fax. However, email is typically the favored communication method.
If you receive a request for an extension of validity, it’s wise to verify your cost prices with third-party suppliers to ensure they remain accurate. If everything checks out, sign the extension of validity and return it before the deadline.
If you find that you cannot accommodate the extension and choose to decline it, your tender response will be deemed non-responsive and will no longer be considered for evaluation.
Consider attending our “Become a Tender Expert” two-day workshops and webinars. You can register online at www.howtotender.co.za/workshops/. If you need further information, please reach out to us at info@howtotender.co.za.