Letters Of Award

What is a Letter of Award?

In many construction or development projects (“Projects”), an employer (“Employer”) will usually invite contractors (“Contractors”) to submit their respective bids and offers (“Tenders”) towards a specific scope of work of the Project, such as the supply of goods and rendering of works and services. Where the Tender of a Contractor is successful, the Employer will notify the Contractor of such success by way of a letter of award (“Letter of Award”), which is sometimes referred to as a letter of acceptance.

Terms of a Letter of Award

A Letter of Award sets out the key terms and conditions which will be included in the formal contract between the Employer and the successful Contractor (“Contract”). Terms contained in a Letter of Award typically include the following: