The Reach On Bid Bond

Bidding contract is a kind of important contract,more and more projects tend to adopt the contract form of bidding.At the same time the disputes of bidding contract is also increasing.In such cases,the disputes involving the bid bond occupies the majority.Bid bond is the possession of a certain amount of property that bidder transfer to the purchaser,in order to ensure the integrity of the bidder to participate in bidding activities.Bid bond in the bidding activities have an important role,can be described as the bond between the two sides of the tender.But the current understanding of the bid bond is very inadequate.On the one hand,the nature of the bid bond is vague.There are some regulations insisting that the bid bond is recognized as a deposit,while some scholars believe that it is pledged.Two views each have fans.On the other hand,due to the lack of a clear understanding of its nature,in relation to whether the bid bond can be adjusted and so on,there are many practices on the court.So this article discusses these above issues and puts forward a solution to then,then attempts to propose suggestions to the current law system.The paper consists of five parts.The first part of the paper mainly summarizes the current laws,the judicial practice and regulations on the bid bond.Also it summarizes the different views of the theoretical circles and points out the disputes and problems in the recognition and application of the bid bond system.In these way we can clarify the problem to be solved in this paper.The second part of the paper is mainly to discuss the nature of the bid bond.The nature of the bid bond is the source of the problem.Put the bid bond into the bidding process,re-examine the bidding process at all stages,then we can clarify the nature of the bid bond and the object of its guarantee-the bid bond is the atypical guarantee which ensure the bidders integrity of the bidding activities.The third part of the paper is mainly to discuss the validity of the non-return of the bid bond.With the knowledge of the nature of the bid bond and the re-understanding of the effectiveness of non-return,we can conclude that the bid bond should not be adjusted by the court.The fourth part of the paper,mainly in the case of the purchaser who is not in good faith should return the twice bid bond.By comparing the purchaser and the bidder in the bidding process,we can draw the conclusion that should the apply to the deposit penalty rules.The fifth part of the paper is mainly to find the basis for the interest with the bid bond.After a thorough analysis of the different approaches to the Court,a uniform standard on this issue is proposed.