The Municipality of Minuscule has just hired you as its business manager and the mayor just asked you to draft a call for tenders for the construction of a new municipal recreation centre.
a. What is the legal definition of a response to a call for tenders?
b. What is the legal effect if the municipality puts out such a call?
c. What should you put into the draft of the call for tenders to try to ensure that:
i. the Municipality of Minuscule retains the greatest flexibility and range of choice in selecting the successful tender?
ii. if the successful tenderer decides not to participate, the Municipality of Minuscule will be compensated for the time and money this costs it, without the necessity of going to court?

a. The call for tenders is an invitation to do business or to make an offer. The response to a call for tenders is therefore an offer
b. Since the call for tenders is not an offer, the municipality cannot be bound by any response, but can pick which, if any, of the offers it wishes to accept
c.
i. You should ensure that the wording of the call makes it clear that Minuscule is not bound to accept the lowest bid or any bid at all. You should also demand that the bids be made under seal so that they cannot be revoked before Minuscule has had the opportunity to consider it.
ii. When bids are submitted, they should be required to provide a substantial deposit, which would then be forfeited if they are chosen as the winning bidder but refuse to exercise the contract.