What term describes a proposal that does not meet all contract formation principles?

Prepare for the Associate Contractors License Exam. Study using flashcards and multiple choice questions, each question is equipped with hints and explanations. Get exam-ready today!

The term that describes a proposal that does not meet all contract formation principles is a non-responsive bid. A non-responsive bid typically fails to satisfy the requirements set forth in the request for proposals (RFP) or the bidding documents. This could mean that the bidder did not provide the necessary information, did not follow the prescribed format, or did not comply with key specifications outlined in the bid instructions. As a result, such a bid is usually rejected, as it does not align with the legal and procedural standards required for contract formation.

A qualified bid, in contrast, may include stipulations or conditions under which the bidder would agree to undertake the project, but it still must adhere to the basic terms of the RFP to be considered. A sole source proposal is related to a unique vendor situation rather than compliance with bidding requirements. A responsive bid, on the other hand, meets all the outlined criteria and is considered valid for evaluation based on the established requirements. Thus, the distinction lies in the non-responsive bid's failure to meet essential contract formation principles, rendering it unsuitable for consideration in the bidding process.

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