Lump-Sum Bid in Public Procurement Law 2026

Lump-sum bid: a bidder's offer with a fixed total price for the tendered service – content, requirements and evaluation under procurement law.

Definition: A lump-sum bid is a bidder's offer in a procurement procedure in which the bidder offers a fixed, unchangeable total price for the tendered overall service, applicable regardless of the quantities actually incurred or the actual effort.

Last updated: January 2026 · Legal basis: BVergG 2018, ÖNORM A 2050, VOB/A, VgV

Content and function

The lump-sum bid is the bid form that corresponds to the lump-sum contract: by submitting the bid, the bidder assumes the quantity and calculation risk and undertakes to deliver the tendered service at a fixed price. Unlike a unit-price bid, where the bidder states unit prices per service item and the total is calculated by multiplying with the tender quantities, in a lump-sum bid the bidder states only a total sum (possibly broken down by partial services).

Requirements for the lump-sum bid

To be evaluable, a lump-sum bid must fully meet the requirements of the procurement documents. These typically include:

Indication of the lump-sum total price (net and gross)
Where applicable, breakdown by trades or service phases
Signature and company stamp (in non-electronic procurements)
Complete attachments (proof of suitability, calculation documents where required)

Bidders should note that, where the specification is unclear, queries must be addressed to the contracting authority before bid submission. After bid submission, the calculation can no longer be corrected.

Comparability of lump-sum bids

The evaluation of lump-sum bids requires particular care on the part of the contracting authority, since differing bid sums are not necessarily attributable to different calculation approaches, but may also reflect different interpretations of the specification. Where bid sums differ significantly, the contracting authority should conduct clarification discussions to verify whether all bidders have offered the same service.

Abnormally low lump-sum bid

If a lump-sum bid appears abnormally low in relation to the service, the contracting authority is obliged to request clarification from the bidder. This check is particularly important for lump-sum bids, since an under-calculated lump-sum offer can lead to the contractor's insolvency during performance, with serious consequences for the project.

Related terms

FAQ

Can a bidder correct a lump-sum bid after submission? No. After expiry of the bid submission deadline, substantive changes to the bid are not permitted.

What happens if the bidder made a mistake in their calculation? In principle, the bidder bears the calculation risk. A calculation error does not entitle the bidder to subsequent price adjustment.

May a bidder submit a lump-sum bid if the contracting authority required a unit-price bid? No. The bid must conform to the required price form, otherwise it must be excluded as formally non-compliant.

Last updated: January 2026 All information without guarantee. For legally binding advice, please consult a law firm specialising in public procurement law.