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QUESTION 1 [25 marks] Ossikati Construction was competing for a contract to remodel an office building. The owner required all general contractors to list
QUESTION 1 [25 marks] Ossikati Construction was competing for a contract to remodel an office building. The owner required all general contractors to list the subcontractors upon whom they relied in putting together their bids. It its solicitation of bids from subcontractors, Ossikati specified that the subcontractors promise not to alter their bids for 45 days without the written consent of Ossikati Construction. As of 10 October 2021, Ossikati had received the following bids on the electrical work: Mussinga Electrics............N$ 1,800,000 ..N$ 2,060,000 ..N$ 2,110,000 ZAP Electrics........... Ace Electrics.. On 11 October 2021, the day general contract bids were due, Fred Mussinga called Ossikati to say there had been a clerical mix-up and Mussinga's bid should be N$ 2,000,000 not $ 1,800,000. Ossikati said "No way. Your bid is firm for 45 days. If I had to add N$200,000 to electrical right now I'd probably be out of the running." In his 12 October 2021 bid on the general contract, Ossikati listed Mussinga as the electrical sub with a bid of N$1,800,000. Ossikati was awarded the general contract on 13 October 2021. Ossikati notified Mussinga that he had been awarded the electrical contract. Mussinga told Ossikati they would not take the job unless the contract were for N$ 2,000,000 not N$ 1,800,000. Ossikati again refused to allow Mussinga to revise its bid. Ossikati then struck a deal with Ace Corporation to do the work for N$ 1,960,000. Ossikati sues Mussinga to recover N$160,000. In one thousand words Opinion Essay, describe Ossikati's claims, the likely defenses, and evaluate the strengths and weaknesses of Ossikati's case.
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