Covington v. Basich Brothers Construction Co

In Covington v. Basich Brothers Construction Co., 72 Ariz. 280, 233 P.2d 837 (1951), a California construction company, Basich Brothers, submitted a road construction bid accompanied by a $ 30,000 check, or "proposal guarantee," to the Arizona State Highway Commission. Id. at 282, 233 P.2d at 838. Basich Brothers was the low bidder, but made several attempts to have its check returned, contending that it had overlooked various cost items in making its bid. Id. Basich Brothers eventually informed the Highway Commission that if Basich Brothers were not relieved of the contract, it would go through with the project, but it requested that the State Highway Engineer recommend a postponement in the award of the contract. Id. at 282-83, 233 P.2d at 838.