Bidding Documents Include Everything the Contractor Needs to Submit a Price
The terms "bidding documents" and "contract documents" are often used interchangeably, but they are not the same. Understanding the distinction matters for the ARE CE exam because it affects what documents become legally binding after contract award, how changes made during bidding are incorporated, and how the project record is maintained. The transition from bidding to contract is the moment when legal obligations are established between the owner and the contractor.
Bidding Documents
Bidding documents are the complete set of documents distributed to prospective bidders for the purpose of receiving competitive bids. They include everything in the contract documents plus additional documents specific to the bidding process. Bidding documents typically include:
- Invitation to Bid (ITB): Public notice or invitation describing the project, where to obtain documents, and bid submission requirements.
- Instructions to Bidders (AIA A701): Rules governing the bidding process - how to prepare the bid, what form to use, bid security requirements, time and place of bid opening, owner's right to reject bids, substitution request procedures during bidding.
- Bid Form: The standardized form bidders complete and submit, ensuring all bids are in the same format for comparison.
- Bid Bond: Security provided by the bidder guaranteeing that if awarded the contract, the bidder will enter into the contract and provide required bonds. Typically 5–10% of the bid amount.
- The Contract Documents: Drawings, specifications, and other documents that will become the contract (if the bid is accepted).
- Addenda: Written changes to bidding documents issued before bid opening, incorporated by reference into the contract.
Contract Documents
Contract documents are the documents that define the legal obligations of the owner and contractor after contract award. Per AIA A201, contract documents include: the Agreement (A101 or similar), the Conditions of the Contract (A201 General Conditions plus any supplementary conditions), the Drawings, and the Specifications. Addenda issued during bidding are incorporated into the contract documents (typically listed in the Agreement). The Instructions to Bidders, bid forms, and bid bond are NOT contract documents - they governed the bidding process but are not part of the ongoing contractual relationship.
The Transition: Award of Contract
When the owner accepts a bid and awards the contract, the bidding phase ends and the construction phase begins. The parties execute the contract agreement (e.g., AIA A101), which identifies the contract sum and lists the contract documents. The contractor's bid form is not a contract document, but the contract sum stated in the agreement is derived from the accepted bid. Any clarifications or changes made between bid opening and contract execution must be properly incorporated into the contract documents, typically through a contract modification or by listing specific addenda in the agreement.
Key Exam Points
- Bidding documents = everything distributed for bid purposes: ITB, Instructions to Bidders, bid form, bid bond, contract documents, and addenda.
- Contract documents = legally binding after award: Agreement, General Conditions, Drawings, Specifications, and addenda.
- Instructions to Bidders and bid forms are NOT contract documents.
- Addenda issued during bidding ARE incorporated into contract documents (listed in the agreement).
- Bid bond: guarantees bidder will enter into contract if selected; typically 5–10% of bid amount.
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