The following excerpt is from Prosper Contracting Corp. v. Board of Ed. of City of New York (P.S. 41, Richmond), 341 N.Y.S.2d 196, 73 Misc.2d 280 (N.Y. App. Term 1973):
In Lynch v. Mayor, supra, plaintiff sued for damages in consequence of the defendant's refusal to execute a contract whereby plaintiff was to perform certain work in the construction of a sewer. Plaintiff presented a bid pursuant to an advertisement and he was thereafter notified that his bid was the lowest and that the contract had been awarded to him. Six days later, the commissioner notified plaintiff that his bid was rejected on account of an irregularity therein, and defendant refused to execute the formal contract. [73 Misc.2d 284] The court ruled that the proposal by the plaintiff and the acceptance thereof by the commissioner constituted a contract binding upon both, and that it was then too late to reject all bids. Plaintiff was held entitled to judgment for his damages.
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