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Bidding Requirements

Posted By Mr. Ethics, Thursday, January 23, 2014
Updated: Wednesday, April 23, 2014

Dear Mr. Ethics,

We are bidding a project that is located in a different state than our office. The bid documents and contract requires us to warrant we are licensed in the project state. We are not licensed in that state but will get a license if we are awarded the project. Does our bidding without a license violate any laws or codes of ethics?

Regards,

Paul



Dear Paul,

I am not sure if you are violating any laws but your bidding without the required license seems to constitute a lie. You are bidding with the knowledge that you do not meet all bid requirements yet by bidding you are representing that you are compliant. I think your intent to bid is unethical. You also need to recognize that if you are awarded the project contract you may be denied a license by the project state. If this occurs not only would you be in breach of the agreement but you may not be able to avail yourself of the judicial system of the project state in a claim situation. You may not be able to bring a claim or defend a claim in the project state. Become compliant before the bid is due.

Regards,

Mr. Ethics

 

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