Question 1 Part A (6 marks) (Recommended approx. 250-300 words) The City of Marion places the following invitation for tenders on the South Australian Government Tenders & Contracts website:

Community Building - Marion Retirement Village

The City of Marion invites submissions for Request for Tender LW 13/2021 - Community Building - Marion Retirement Village.

Council requires submissions for the demolition of existing building and construction of a new Community Building as part of the Marion Retirement Village - Lot 2 Bookpurnong Terrace, Marion.

All submissions must be lodged via the SA Tenders and Contracts website by 5pm Wednesday 31 March 2020.

In response to this invitation, Bremner Construction Pty Ltd (Bremner) lodges a fixed price lump sum tender of $2.5 million at 4.40pm on 31 March 2020. Bremner's tender contains the following conditions: - This tender is valid to 5pm on 29 May 2020. Acceptance to be in writing by post sent to our head office address. - Public liability insurance will be provided to the value of Ten (10) million dollars. - Contract security will be provided in the form of an unconditional bank guarantee to the value of 5% of the contract sum. - Bremner's liability for any damages in connection with the contract is to exclude liability for consequential losses.

Four weeks after Bremner submits its tender, a second wave of COVID-19 cases occurs in South Australia which leads to the SA Government announcing a lock-down period of 10 days. Concerned about the uncertainty that the second wave could cause in the construction labour and materials supply chains, Bremner sends a letter by registered mail to the City of Marion on 28 April 2020 stating:

Due to the second wave of COVID-19 cases and resultant uncertainty of labour and material costs imposed on ourselves, we regret to advise that our tender dated 31 March 2020 for the demolition of existing building and construction of a new Community Building as part of the Marion Retirement Village - Lot 2 Bookpurnong Terrace, Marion is withdrawn with immediate effect.

This letter arrives at the City of Marion's offices on 30 April 2020.

On 29 April 2020, the City of Marion mails a letter to Bremner stating:

We are pleased to inform you that the City of Marion is able to accept your tender dated 31 March 2020 subject to Bremner Construction Pty Ltd increasing public liability insurance cover to Forty ($40) million dollars, providing contract security in the form of retention moneys to the value of 5% of the contract sum, and Bremner indemnifying the City of Marion for any loss (including consequential loss) incurred by the City of Marion arising out of any breach of Bremner's obligations under the contract. Please email all future correspondence to t..s@cityofmarion.gov.sa.au The City of Marion's letter arrives at Bremner's head office on 1 May 2020.

Advise whether a contract has indeed been formed between Bremner and the City of Marion for the carrying out of the works for the Marion Retirement Village.,

Note: Your answer should consider and identify all relevant events (e.g. invitations to treat, offers, counter-offers, revocations, acceptances etc.) and dates.