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Can a Subcontractor Charge 2 different Primes a different Price for the same material?

Rusty Holden
Rusty Holden
in About The Regulations

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comment_72467

I came across a situation where a Subcontractor charged one Prime contractor a different price for the same material than it did to a second Prime contractor.  Can a Subcontractor Charge 2 different Primes a different price for the same material?  Is that a violation of TINA?

 

thanks,

Geo

comment_72472

As I think I read here on WIFCON, TINA is a disclosure statute, not a pricing statute.  If the subcontractor disclosed, maybe all is well with TINA?

Personally, I don't see a problem with a firm charging different prices to different customers -- it happens all the time.  Different circumstances call for different prices, right?  Are you suggesting that EVERYTHING* in the two arrangements is identical, so an identical price is mandatory?  

*but here, we don't know that EVERYTHING is identical -- could be different quantities, different delivery dates, different T&Cs, different bargaining strengths, and so forth...

comment_72474
20 hours ago, Rusty Holden said:

I came across a situation where a Subcontractor charged one Prime contractor a different price for the same material than it did to a second Prime contractor.  Can a Subcontractor Charge 2 different Primes a different price for the same material?  Is that a violation of TINA?

 

thanks,

Geo

How would TINA be applicable to one or both of the sales? There is no context to either question. 

comment_72475
18 hours ago, Rusty Holden said:

I came across a situation where a Subcontractor charged one Prime contractor a different price for the same material than it did to a second Prime contractor.  Can a Subcontractor Charge 2 different Primes a different price for the same material?  Is that a violation of TINA?

No and No. Good day. 

comment_72478
Just now, Vern Edwards said:

Yes.

No.

I didn’t ask if that is a violation of TINA.

comment_72528
On 6/28/2022 at 3:25 PM, Rusty Holden said:

Can a Subcontractor Charge 2 different Primes a different price for the same material?

Yes.  Circumstance matter.

Prime A.  I would like one widget please, delivered ASAP to Kwajalein Atoll, Marshall Islands.

Sub: That will be $50,000/ea.

Prime B. I would like one thousand widgets, delivery in six months, to the big depot across the street from your factory.

Sub: That will be $10,000/ea. 

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