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bidding for goods/items that are not on hand

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bidding for goods/items that are not on hand

Post by mika07 on Fri May 25, 2012 3:24 pm

Can a bidder/supplier bid for an item wherein which he does not have at time the bid is submiited?

Our agency posted an ITB for purchase a 4x4 pick up on April 1, 2011. The bidder submitted his bid on April 8, 2011. The documents would show that the deed of sale from the 1st owner to the bidder is on May 31, 2011. Which means that the vehicle is not yet in the possession of the bidder before he submitted his bid for our ITB.

Is there a violation of RA 9184?

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Re: bidding for goods/items that are not on hand

Post by regina avelino on Fri May 25, 2012 3:30 pm

ma'm mika, kailan po ba ang delivery date ng pick up sa procuring entity?

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Re: bidding for goods/items that are not on hand

Post by mika07 on Mon May 28, 2012 10:10 am

based on the acceptance and inspection report, the pick up was delivered on September 6, 2011.

The pick up was registered in the name of the bidder on May 16, 2011 and the bidding was made on april 8, 2011.

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Re: bidding for goods/items that are not on hand

Post by regina avelino on Mon May 28, 2012 2:47 pm

I'm assuming that the bid item, the pick-up, was a secondhand vehicle. I hope that this was clearly indicated in the terms of reference/bid documents that the the bid item that the procuring entity was procuring is secondhand and not brand new. I said this because in your first post, you wrote "deed of sale from the 1st owner to the bidder" and "was registered in the name of the bidder on May 16, 2011". Had this been a brand new vehichle, these facts would not come out.

Here's my opinion madam. It doesn't matter if the bidder is the owner or not of the vehicle at the time bidding. What is important is that, the bidder should be the owner at the time of delivery. You said the the vehicle was registered in the name of the bidder on May 16, 2011 and that the delivery took place on September 6, 2011. I'm just wondering why the bidder took him long with the delivery. Just make sure that the September, 2011 was the delivery date per terms of reference or else you could have demanded damages for every day of delay or if he failed to deliver the vehicle due to registration/ownership issue, you could have forfeited the performance security. Likewise, the procuring entity should have executed a contract for the delivery of vehicle with the winning bidder. This is to ensure the documentation of the delivery of vehicle pending the transfer of registration to the procuring entity which leads to my other opinion that it doesn't matter if the winning bidder is still the registered owner of the vehicle at the time of delivery. The terms of reference should also indicated that the winning bidder should process the transfer of registration from the bidder to the procuring entity. I hope i got your query right madam mika.

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