New Jersey Administrative Code
Title 5 - COMMUNITY AFFAIRS
Chapter 34 - LOCAL PUBLIC AND PUBLIC SCHOOL CONTRACTS LAWS
Subchapter 10 - DESIGN-BUILD CONTRACTS
Section 5:34-10.15 - Contract approval and execution

(a) Prior to the execution of a design-build contract, the bidder that was provided a notice of final award by the contracting unit shall exist in the legal status in which it will perform its responsibilities pursuant to the design-build contract.

(b) The contracting unit shall send the successful design-builder a notice of award letter pursuant to N.J.A.C. 5:34-10.9(n). The notice of award letter shall contain a list of the additional documents required to be submitted by the design-builder with the executed contract. The notice of award will specify the time within which the executed contract and required documents must be returned.

(c) If the design-builder fails to return the executed contract and other required documents within the time specified by the contracting unit, the contracting unit may take whatever action is appropriate and authorized by law including, but not limited to, withdrawing or canceling the notice of award to the delinquent bidder and awarding the contract to the next-highest ranked bidder; cancelling the procurement; or proceeding to recover under the bid bond submitted with the price proposal, in accordance with N.J.A.C. 5:34-10.9(b).

(d) All contracts executed pursuant to this subchapter shall provide for, among other things, termination for the convenience of the contracting unit and for cause.

(e) No agreement is valid or binding on the contracting unit, unless and until it is executed by an appropriately authorized representative of the contracting unit. Any work performed prior to the execution of the contract by the successful bidder is voluntary and represents a gift to the contracting unit. In the event the notice of award is cancelled or withdrawn, the successful bidder is not entitled to any remuneration for any work performed prior to the execution of the contract.

(f) Subject to the contracting unit's cancellation rights set forth at N.J.A.C. 5:34-10.10(e), upon the successful bidder's submission of all required documentation or materials, as specified in the notice of award, and the contracting unit's acceptance of such documentation, the contracting unit will execute the design-build contract and provide the successful bidder with the fully executed designbuild contract.