Lewis, an employee of Silos, Inc., makes a substantial mathematical error in totaling the estimated costs for a project for which AgriCo-op is seeking bids. Consequently, Silos’s bid is significantly low. Any contract with AgriCo-op that includes the mistake may be rescinded
A)if AgriCo-op knew or should have known of the mistake.
B)if Lewis’s supervisor did not know of the mistake.
C)if Silos knew or should have known of the mistake.
D)under no circumstances.

Question

Quizplus · Accepted Answer

If a mistake is made in a bid, the contract may be rescinded if the other party knew or should have known of the mistake. In this case, AgriCo-op is seeking bids, and if they knew or should have known of Lewis's substantial mathematical error, they cannot hold Silos, Inc. responsible for the mistake, and the contract may be rescinded.

Lewis, an Employee of Silos, Inc