700
PUBLIC LAW 86-682-SEPT. 2, 1960
[74 S T A T.
least 90 days before the end of the contract term that he desires to renew the contract, the Postmaster General may enter into a contract with the subcontractor then, and for 6 months prior thereto, performing the service under the contract to the satisfaction of the Postmaster General. Contracts made under this subsection— (1) shall be upon the terms prevailing at the end of the preceding contract term; (2) may be made without advertising; and (3) shall be accompanied by such bond as the Postmaster General requires. (c) A contract under this section may be terminated at the end of any four-year term at the option of the Postmaster General or of the contractor, or at any time by operation of law. § 6417. Bids for mail contracts (a) Bids for transportation of mail shall be sealed. The Postmaster General shall keep them sealed until the bidding is closed, and then they shall be opened and marked in the presence of two or more officers or employees of the Department designated by the Postmaster General. A bidder may withdraw his bid at any time up to twentyfour hours before the time fixed for the opening of bids, by serving upon the Postmaster General notice in writing. (b) The Postmaster General shall have recorded a true abstract of the details of all bids made for carrying the mail. He shall preserve the originals of the bids until disposed of as provided by law. § 6418. Bond of bidder (a) Every bid for transporting the mail shall be accompanied by the bond of the bidder in the sum designated by the Postmaster General in the advertisement. (b) The bond required by this section shall contain a condition that if the bidder, within such time after his bid is accepted as the Postmaster General prescribes, enters into a contract with the United States of America with good and sufficient sureties to be approved by the Postmaster General to perform the service proposed in his bid, and further if he performs the service according to his contract, then the said obligation on the bond is void, otherwise it remains in full force and obligation in law. (c) If a bidder fails to enter into the prescribed contract or if after executing a contract fails to perform the service in accordance with his contract, he and his sureties are liable for the amount of the bond as liquidated damages to be recovered in a civil action. (d) The Postmaster General may not consider a bid unless it is accompanied by the bond required by this section, and there is affixed to it the signed statement of the bidder that he has the pecuniary ability to fulfill his obligations, and that the bid is made in good faith with the intention to enter into a contract and perform the service if the bid is accepted. § 6419. Justification of sureties on bonds of bidders (a) The Postmaster General shall direct the manner in which the sureties on the bond of a bidder for the transportation of mail are approved. (b) Before the bond of a bidder is approved the sureties shall submit signed statements that they are owners of real estate worth in the aggregate a sum double the amount of the bond, over and above all debts due and owing by them, and all judgments, mortgages, and executions against them, after allowing all exemptions of every character whatever. Acompanying the statement and as a part thereof,
�
