Rebids

A rebid is a second or subsequent offer made in an auction or negotiation. In contract bidding, it refers to a revised offer submitted by a bidder after their initial bid has been rejected or deemed unsatisfactory. This typically occurs when the original bid is too high, too low, or does not meet the specified requirements. The rebid allows the bidder to adjust their terms to align with the expectations of the party seeking to procure goods or services.

In the context of auctions, a rebid might occur if the auctioneer believes the current highest bid is too low to proceed or if a reserve price has not been met. The auctioneer may invite further bidding, effectively creating a rebid opportunity. This can also happen if a participant mistakenly makes a bid and wishes to correct it, though rules regarding such actions vary significantly between auction types.

Rebids are a common practice in various commercial and transactional environments. They provide a mechanism for flexibility and negotiation, allowing parties to reach a mutually agreeable outcome. The process of rebidding often involves communication between the parties to understand the reasons for the initial bid's rejection and to clarify the requirements for a successful subsequent offer.