Certificate of Independent Bid Determination: A tool to protect the bidding process
The Certificate of Independent Bid Determination is designed to help purchasing authorities when calling for bids, tenders or quotations.
Specifically, the certificate requires a bidding company to confirm that its bid has been prepared independently, without consultation with any competitor (for example, regarding prices or project specifications). Or, if the bidder is involved in an agreement or arrangement (for example, a joint venture), the certificate requires the bidder to disclose complete details of the arrangement when submitting the certificate.
By requiring suppliers to sign a statement confirming they have not communicated with or made arrangements with other bidders, the certificate helps to deter bid rigging. In addition, in the event a supplier is charged with an offence under the Competition Act, the certificate can also facilitate prosecution. Of course, it does not guarantee that bid-rigging will be eliminated or that all offenders will be successfully apprehended and prosecuted.
If you are a purchasing authority, you are encouraged to use this document when buying goods or services through a competitive process.
If you are a bidder, you can use the certificate if a purchasing authority has asked you to confirm in writing that your bid was developed independently from your competitors.
Model — Certificate of Independent Bid Determination
I, the undersigned, in submitting the accompanying bid or tender (hereinafter "bid") to:
(Corporate Name of Recipient of this Submission)
(Name and Number of Bid and Project)
in response to the call or request (hereinafter "call") for bids made by:
(Name of Tendering Authority)
do hereby make the following statements that I certify to be true and complete in every respect:
I certify, on behalf of: that:
(Corporate Name of Bidder or Tenderer [hereinafter "Bidder"])
- I have read and I understand the contents of this Certificate;
- I understand that the accompanying bid will be disqualified if this Certificate is found not to be true and complete in every respect;
- I am authorized by the Bidder to sign this Certificate, and to submit the accompanying bid, on behalf of the Bidder;
- each person whose signature appears on the accompanying bid has been authorized by the Bidder to determine the terms of, and to sign, the bid, on behalf of the Bidder;
- for the purposes of this Certificate and the accompanying bid, I understand that the word "competitor" shall include any individual or organization, other than the Bidder, whether or not affiliated with the Bidder, who:
- has been requested to submit a bid in response to this call for bids;
- could potentially submit a bid in response to this call for bids, based on their qualifications, abilities or experience;
- the Bidder discloses that (check one of the following, as applicable):
- the Bidder has arrived at the accompanying bid independently from, and without consultation, communication, agreement or arrangement with, any competitor;
- the Bidder has entered into consultations, communications, agreements or arrangements with one or more competitors regarding this call for bids, and the Bidder discloses, in the attached document(s), complete details thereof, including the names of the competitors and the nature of, and reasons for, such consultations, communications, agreements or arrangements;
- in particular, without limiting the generality of paragraphs (6)(a) or (6)(b) above, there has been no consultation, communication, agreement or arrangement with any competitor regarding:
- methods, factors or formulas used to calculate prices;
- the intention or decision to submit, or not to submit, a bid; or
- the submission of a bid which does not meet the specifications of the call for bids; except as specifically disclosed pursuant to paragraph (6)(b) above;
- in addition, there has been no consultation, communication, agreement or arrangement with any competitor regarding the quality, quantity, specifications or delivery particulars of the products or services to which this call for bids relates, except as specifically authorized by the Tendering Authority or as specifically disclosed pursuant to paragraph (6)(b) above;
- the terms of the accompanying bid have not been, and will not be, knowingly disclosed by the Bidder, directly or indirectly, to any competitor, prior to the date and time of the official bid opening, or of the awarding of the contract, whichever comes first, unless otherwise required by law or as specifically disclosed pursuant to paragraph (6)(b) above.
(Printed Name and Signature of Authorized Agent of Bidder)
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