A DEPOSIT ESTREATED.

Pukekohe & Waiuku Times, Volume 2, Issue 134, 7 October 1913, Page 1

A DEPOSIT ESTREATED.

Tho County Office Tenders At the Just meeting of tho Franklin County ('onncii, the chairman reported that with th - architect he had made enquiries in Auckland concerning the lowest tenderer, 11. C. Small, for the county oliices, whoso price was £'JO3. The iuve: 1 igatiou showed that Mr Smail was a suitable and a reliable man and they were congratulating themselves upon being so forUiuate. Afterwards tho contractor said he had made a mistake in his estimate and would not sign t'.ie contract. The investigation had, of course, cost money. Subsequently tho tender of McPherson an I Harvey, of Tuakau, was accepted at £OOB, the contractors had signed and work on tho building had been begun. In view of the circumstances he moved that the £2O deposit be retained by the Council. Cr Campbell seconded the motion, which was carried.

During the discussion Cr. Campbell made tho remark that " evidently the p;ice had leaked out somehow and the lowest tenderer, finding himself so much below the next man, would not go on." As a matter of fact there was no " leaking out" so far as the price was concerned, in the unpleasant .sense impliel. The tenders were opened on Thursday and were published in the " Times " next day. The common prac'ico is for architects to po&t the price? for public inspection at the earliest possible moment after the time of closing of tenders. This is done on the assumption that the deposit binds the contractor, while the immediate publication of the tenders prevents any suggestion of collusion between the principal, tho architect, and any particular tenderer. In other words this course is pursued to expressly prevent, so tar as possible, even so much as any suspicion of underhand practices. If the possibility of bargaining with ; tenderers, subsequent to the closing time, were not so guarded against, tho whole system of contract by public tender would fall into disfavour.