7.2: Violations of Law
If prior to award it is determined that a solicitation or proposed award of a contract is in violation of the law, then the solicitation or proposed award shall be:
   1.   Canceled or revised by addenda if prior to the closing acceptance date of the solicitation.
   2.   If after the closing acceptance date of the solicitation but prior to award, the pending contract agreement shall be modified to comply with the law. Should it be determined that such a modification would have a cost impact, the Town shall have the right to:
      a.   Accept the cost impact if considered fair and reasonable,
      b.   Negotiate with the offeror,
      c.   Open negotiations with other offerors, or
      d.   Reject all offerors in their entirety.
If after an award it is determined that a solicitation or award of a contract is/was in violation of the law and the person or persons has/have not acted fraudulently or in bad faith, the Town may:
   1.   Modify the contract agreement by an appropriate change order agreeable to both parties to comply with the law; or
   2.   The Town may terminate the contract and the person awarded the contract shall be compensated for the actual expenses reasonably incurred under the contract, plus a reasonable profit for cost incurred prior to the termination.
If after an award it is determined that a solicitation or award of a contract is/was in violation of the law and the person or persons has/have acted fraudulently or in bad faith, the Town may:
   1.   Declare the contract null and void; or
   2.   At its discretion, take any other actions which are appropriate and in the best interests of the Town.