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a.

The Employer issued Letter of Acceptance to the construction Contractor stating thus:
“your tender is hereby accepted after deducting 5% as a discount”.

b. A tender notice appeared on ‘Daily News’ states: “Tenders are invited from suitable
contractors for demolishing of existing supermarket building at Fort. The Engineer’s estimate
of the work is Rs. 15 Million and the work is expected to be completed in 2 months”. Smart
Builders sent a letter to the advertising party stating that they are willing to accept the tender
in the amount of said Rs. 15 Million and the work will be completed in two months’ time.

c. The Employer issued a letter titled “Letter of Intent” to the Contractor stating that his
tender is accepted and the work shall commence on 1 April 2011.

d. While construction work is in progress in a road project the Employer failed to make
payments to the Contractor on time as per the contract. The Contractor in response sent a
letter to the Employer notifying termination of the contract.

e. While construction work is in progress in a building project the Contractor has failed to lay
the tile flooring with uniform level in a toilet. The Employer in response sent a letter to the
Contractor notifying termination of the contract.

f. An employer received 3 tenders for a particular project from tenderers named ‘A’, ‘B’ and
‘C’. The employer notified tenderer ‘A’ that his tender is being seriously considered by him
with the intention to subsequently award. Upon receipt of this notification letter ‘A’ spent
some money to procure some materials to start temporary works of site. However, after few
days ‘A’ realized that the project has been awarded to ‘B’ and ‘B’ has started works at site.
Now ‘A’ intends to take legal action against ‘B’ to recover ‘A’s losses. What is the position
of ‘A’?

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