Articles Posted in Government Contracts

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Respondent was the low bidder on a government construction contract. The Purchasing Division of the Department of Administration and the Lottery Commission (collectively, the Agency), however, awarded the contract to Petitioner, the next low bidder, determining that Petitioner was the lowest qualified responsible bidder on the project. Petitioner filed suit to rescind the contract. The circuit court ordered the Agency to award the contract to Respondent, concluding that the determination to disqualify Respondent was not rational. The Supreme Court affirmed, holding that the Agency abused its discretion when it awarded the construction contract to Petitioner. View "Wiseman Constr. Co. v. Maynard C. Smith Constr. Co." on Justia Law

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The West Virginia Racing Commission promulgated two administrative rules, a rule establishing the burden of proof for ejections by a racing association and a rule allowing the Racing Commission to grant a stay of a permit holder’s ejection by a racing association pending review. The Racing Commission adopted the rules without legislative approval, concluding that the rules were merely procedural rather than legislative and thus did not require legislative approval. PNGI Charles Town Gaming, LLC filed a petition seeking a writ of prohibition and declaratory judgment claiming that the rules had not been properly promulgated under the West Virginia Administrative Procedures Act. The circuit court entered summary judgment in favor of the Racing Decision, concluding that the rules were properly adopted without the need for legislative approval and that the Racing Commission possessed inherent authority to issue a stay of a racetrack’s ejection decision. The Supreme Court affirmed, holding that the circuit court did not err in concluding that the two rules were properly enacted procedural rules that were within the authority of the Racing Commission. View "PNGI Charles Town Gaming, LLC v. W. Va. Racing Comm’n" on Justia Law

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In 2003, the Division of Highways (DOH) let out a public highway construction contract to Nicewonder Contracting. The Affiliated Construction Trades Foundation (ACT) filed a declaratory judgment action against the DOH and Nicewonder, alleging that the construction contract violated state and federal law because the DOH did not seek public bids for the project and there was no prevailing wage clause in the contract. Upon remand from the district court, the circuit court granted Nicewonder's motion for summary judgment, finding ACT lacked standing. The Supreme court reversed, holding that the appropriate standard to determine if an organization has representative standing to sue on behalf of its members is when the organization proves that (1) at least one of its members would have standing to sue in their own right; (2) the interests it seeks to protect are germane to the organization's purpose; and (3) neither the claim asserted nor the relief requested requires the participation of individual members in the lawsuit. The Court found that ACT met all three prongs and thus had representative standing to seek the declarations contained in its petition. View "Affiliated Constr. Trades v. W. Va. Dep't of Transp." on Justia Law