Dictionary of Procurement Terms

A business or person who serves the public by transporting goods or people on regular routes at set rates. See also: Contract Carrier.

1. Law based on custom and usage, or confirmed by court decisions, rather than law created by the enactment of legislative bodies. 2. The body of law created by court decisions rendered by judges; also known as case law or judicial law. 3. Principles and rules by which rights and obligations in commercial transactions are determined, found in the Uniform Commercial Code (2) business law.

Free trade area among countries with no to few duties on commerce with one another and common external tariffs.

Shares entitling the holder, as a partial owner, to dividends if the company realizes a profit.

Principle that women and men should be equally compensated for work requiring comparable skills, effort, and responsibilities.

The ability of an individual or business to produce a good or service at a lower price than competitors. See also: Absolute Advantage.

Compensation received by a contractor for increased costs as a result of a delay when an entity orders work to be suspended.

People who are mentally and legally capable of entering to contracts that are enforceable by law (i.e., of legal age, of sound mind, not under the influence of drugs or alcohol).

The process or act among suppliers of submitting their best offer with the most favorable terms to be awarded a contract.

Circumstances or factors, such as technology or location, that allow a supplier to offer better goods or services at lower prices or with more favorable terms.