14.404-5
All or none qualifications
"All or none" qualifications in bids are binding after bid opening and cannot be withdrawn or modified, ensuring fairness in the sealed bidding process.
Overview
FAR 14.404-5 addresses the treatment of "all or none" qualifications in sealed bidding. An "all or none" qualification means a bidder will only accept an award if it covers all, or a specified group, of the items they bid on. Unless the solicitation explicitly prohibits such qualifications, a bid containing an "all or none" condition is still considered responsive. However, after bid opening, bidders are not allowed to withdraw or modify these qualifications, as doing so would impact the fairness of the process and the rights of other bidders. This rule ensures the integrity and transparency of the sealed bidding process by preventing post-opening changes that could disadvantage other participants.
Key Rules
- Responsiveness of "All or None" Bids
- Bids with "all or none" qualifications are generally responsive unless the solicitation states otherwise.
- No Post-Opening Modification
- Bidders cannot withdraw or alter "all or none" qualifications after bid opening, as these are substantive terms affecting competition.
Responsibilities
- Contracting Officers: Must determine if "all or none" bids are responsive and enforce the prohibition on post-opening changes.
- Contractors: Must ensure any "all or none" qualifications are included before bid opening and understand they cannot be changed afterward.
- Agencies: Should clearly state in solicitations if "all or none" qualifications are not permitted.
Practical Implications
- This rule protects the integrity of the sealed bidding process by preventing bidders from gaining an unfair advantage after seeing competitors' bids.
- Contractors should carefully consider their qualifications before submission, as they are binding after bid opening.
- Common pitfalls include attempting to modify or withdraw "all or none" terms post-opening, which is not allowed.