Post-Tender Resubmission: The Duty To Carry Subcontractors

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In times of cost escalation, owners sometimes revise the scope of work and ask the lowest bidder to resubmit. What is a general contractor's duty to its subcontractors in this situation? In G&S Electric Ltd. v. Devlan Construction Ltd., the court held that the general contractor must only seek resubmissions from subcontractors it originally carried. This is so even if another subcontractor can offer a lower price.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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