In what circumstances will the City refuse to award a contract to a contractor because all bids exceed the City’s budget?

Nova Scotia, Canada


The following excerpt is from Amber Contracting Ltd. v. Halifax (Regional Municipality), 2008 NSSC 208 (CanLII):

In Trucon Construction (1986) Ltd v. Quesnal (City), [1994] B.C.J. No. 2542, the court similarly dealt with a situation where the City declined to award the contract as all bids significantly exceeded the City’s budget for the project. The re-tender of the project however, did include altered specifications, which is not the case in this litigation, where the re-tender was substantially identical.

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