Exam NPPE Topic 3 Question 213 Discussion

This scenario concerns bid mistakes and whether a binding contract is formed when an owner accepts a tender. Under tendering principles commonly tested on the NPPE, a bidder may be relieved from its tender obligations only in limited circumstances, typically where there is a clear, material (fundamental) mistake and the owner either knew or ought reasonably to have known of the error at the time of acceptance. In practice, the bidder must demonstrate that the mistake is obvious and significant enough that enforcing the tender would be unfair because there was no true "meeting of the minds" on the essential terms. Option B best reflects that the bidder bears a heavy burden to prove an obvious and material error to avoid contract formation or to seek relief from forfeiture. Option A is incorrect because revocation after bid closing
/acceptance is generally not permitted without consequences, especially where bid security exists. Option C is too absolute; relief may be possible if the legal test for a fundamental/obvious error is met. Option D is incorrect because the bidder should notify the owner promptly upon discovering the mistake; waiting can worsen liability.