Civil Litigation,
Government,
Contracts,
Construction
Mar. 14, 2015
Losing bidders can sue when winners don't pay prevailing wages
A court recently held the plaintiffs could state a cause of action if the winning bidder was able to submit a lower bid because it illegally paid its workers less than the prevailing wage.
Michael J. Maurer
Partner
Best Best & Krieger LLP
Email: michael.maurer@bbklaw.com
Michael serves as a city attorney and as construction counsel to various public agencies in California.
The second-place bidder on a government contract has a cause of action for intentional interference with prospective economic advantage against the winning bidder if the contract was awarded as a result of wrongful conduct. In the recent case of Roy Allan Slurry Seal v. American Asphalt South Inc., 2015 DJDAR 2014 (Feb. 20, 2015), the 2nd District Court of Appeal held that the plaintiffs could state that cause of action if the winning bidder was able to submit a lower bid because ...
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