SEAL BID Meaning and
Definition
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A seal bid refers to a specific type of bidding process typically used in auctions and competitive tendering. It is a method in which bids are submitted in a secured envelope or package, tightly sealed to prevent tampering or unauthorized access until a designated time or event, such as the bid opening or review.
In this process, interested parties prepare their bids, including the proposed terms, pricing, and any other relevant information, which are then sealed in an envelope. The envelope is typically marked with the bidder's identity and clearly labeled as a sealed bid.
The sealed bids are then collected and held securely until the predetermined time, usually established by the auctioneer or the organization managing the bidding process. At the specified time, the bids are opened publicly or in the presence of a committee, ensuring transparency and fairness. The bids are assessed and evaluated based on their compliance with the requirements and criteria outlined in the bidding documents.
Seal bidding is often employed to maintain confidentiality and anonymity during the bidding process, enhancing the integrity and fairness of the competition. It also helps prevent any potential biases or favoritism that could arise from knowing the identity of the bidder before evaluating their proposal. This method ensures that all bids are considered solely on their merits and that no undue advantage is given to any particular bidder.
Etymology of SEAL BID
The word "seal bid" is a compound noun phrase, consisting of the words "seal" and "bid".
The term "seal" in this context most likely originated from the practice of sealing an envelope or container to keep its contents secure and confidential. In the context of a bid, it refers to the act of officially closing and securing a bid or offer, usually by placing it in a sealed envelope or package to prevent tampering or unauthorized access.
The word "bid" originates from the Old English word "biddan", meaning "to ask" or "to command". It initially referred to the act of making a formal offer, proposal, or request, particularly in the context of auctions or competitive situations. Over time, its meaning expanded to encompass various economic and business contexts, including sealed bids.
