pman
Senior Member
The problem is TTC needs a special ramp that no one uses in Europe or the world. It was an automatic rejection from most supplier. I don't know how much of the BBD ramp design is copyrighted thus how much of the technical details can be transferred to a new supplier if the tender went out. The worst case is they have to start the ramp design from scratch.
I don't see why TTC should pull out now as significant money had went towards engineering work, the TTC tweak version and assembly line setup. TTC would also be on the hook for all subcontract cancellation fee for part suppliers. This is money they can't recover if they pulled out. It probably accounts for at least 30-40% of the contract. BBD could sue the TTC if they pull out and not pay for the design work. It all about who breaks the contract and whats written down for the conditions to pull out. As long as BBD can prove they are doing all they could, the courts might not benefit the TTC if they pull out.
However, the TTC do need more than 264 streetcars by 2030 as the network expands into the portlands. The TTC should tender for the next next generation cars and have both suppliers delivering simultaneously. By 2019, the TTC can sue BBD for all the damage from the undelivered streetcars as they will probably delivery only 60-80 cars by then at this rate. I really think pulling out right now is stupid and the law is written up to help the one who sticks with the contract. Right now BBD is on the losing side.
How did Toronto manage to require a ramp that apparently no other city in the world uses, resulting in the elimination of most potential suppliers? And how much is the additional cost of sourcing customized streetcars from BBD instead of running a competitive tender for an off the shelf product?