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Civil Litigation,
Government,
Contracts,
Construction,
California Supreme Court,
California Courts of Appeal

Mar. 26, 2018

Ruling is a windfall to second-place bidders

A recent California appellate court opinion highlights the danger that the design-bid-build system can bring when it is not applied in a way that protects the public dollar.

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.

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Dana M. Howard

Associate
Best Best & Krieger LLP

300 S Grand Ave Fl 25
Los Angeles , CA 90071-3169

Fax: (213) 617-7480

Email: dana.vessey@bbklaw.com

Dana represents public and private clients in litigation in state and federal courts.

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Procuring government construction contracts tends to be a relatively simple process: A contract is advertised for bids, the government receives sealed bids, and the contract is awarded to whichever contains the lowest price. This tried and true method -- known as "design-bid-build" -- was adopted to prevent favoritism and corruption, and to ensure that public dollars are spent frugally.

But this method has its frustrations for both ...

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