Request for Quote (Australia)

A Request for Quote in Australia puts a request, notification, or position in formal written form for the recipient, consistent with the Corporations Act 2001 (Cth).

In Australia, the RFQ is a standard tool in both private sector procurement and government purchasing. Commonwealth entities using the procurement framework under the Public Governance, Performance and Accountability Act 2013 (Cth) frequently use an RFQ process for procurements below the open tender thresholds. State and territory governments operate equivalent frameworks. Even in private business, a well-drafted RFQ protects the buyer by documenting the competitive process and providing evidence of value for money.

A written RFQ also establishes important legal protections. It clarifies that the issuer is not committed to accepting any quote, preventing vendors from later claiming a binding contract was formed when they submitted their price. Courts in Australia have examined when procurement processes create contractual obligations — the key is to include clear language stating the RFQ is not an offer and that the issuer reserves the right to reject all responses. This template includes that language as a standard clause.

For tax purposes, requiring vendors to show their ABN and GST registration in the quote simplifies subsequent invoicing and input tax credit claims under the A New Tax System (Goods and Services Tax) Act 1999 (Cth). Where a vendor does not provide an ABN, the payer may be required to withhold 47% of the payment under the Tax Administration Act 1953 (Cth).

The legal framework governing the Request for Quote (Australia) in Australia draws on several key statutes and regulatory bodies. Under the Corporations Act 2001 (Cth), the Australian Securities and Investments Commission (ASIC) regulates companies and financial services. Section 127 of the Corporations Act 2001 governs company execution of documents. The Australian Competition and Consumer Commission (ACCC) enforces the Competition and Consumer Act 2010 (Cth). The Australian Taxation Office (ATO) administers the Goods and Services Tax under the A New Tax System (Goods and Services Tax) Act 1999. The Federal Court of Australia and Supreme Courts of each state have jurisdiction over corporate disputes. Parties executing a Request for Quote (Australia) in Australia should confirm the document reflects current law, including any amendments enacted since the original drafting date. The Corporations Act 2001 (Cth) sets the foundational requirements.

An RFQ is the appropriate procurement tool whenever you want to compare prices from multiple suppliers before making a purchasing decision. It is particularly valuable when:

You are purchasing standard or well-defined goods or services where price is the primary differentiator — for example, office supplies, IT equipment, catering, cleaning services, or routine maintenance.

Your procurement governance or internal policy requires documented competitive quotes above a certain spend threshold. Many Australian organisations require three written quotes for purchases above AUD $5,000 to AUD $20,000, depending on their procurement policy.

You are a government or not-for-profit entity that must demonstrate value for money and maintain an audit trail of the procurement process. Commonwealth entities are required by the Commonwealth Procurement Rules to obtain value for money, and an RFQ provides documented evidence that you tested the market.

You want to avoid disputes with unsuccessful vendors. A clear, written RFQ that specifies evaluation criteria and reserves the right to reject all quotes reduces the risk of claims from vendors who believe they were entitled to win the contract.

You are entering into a recurring purchase arrangement and want to establish a panel of pre-qualified suppliers. An initial RFQ process creates the documented basis for selecting panel members.

Parties in Australia should prepare a Request for Quote (Australia) proactively rather than waiting for a dispute to arise. Courts interpret agreements based on the written terms rather than oral representations. Under the Corporations Act 2001 (Cth), the Australian Securities and Investments Commission (ASIC) regulates companies and financial services. Section 127 of the Corporations Act 2001 governs company execution of documents. The Australian Competition and Consumer Commission (ACCC) enforces the Competition and Consumer Act 2010 (Cth). The Australian Taxation Office (ATO) administers the Goods and Services Tax under the A New Tax System (Goods and Services Tax) Act 1999. The Federal Court of Australia and Supreme Courts of each state have jurisdiction over corporate disputes. Where the transaction involves regulated activities, prior approval from the relevant authority may be required before execution.

A well-drafted Australian RFQ must include several essential elements to be effective and legally sound.

RFQ identification: A unique reference number, issue date, and closing date and time. The closing date must specify the time zone — AEST, AEDT, AWST, or another relevant Australian time zone — to avoid ambiguity given Australia's multiple time zones.

Issuer details: The full legal name and ABN of the issuing organisation, and the name and contact details of the person vendors should contact with questions. Providing a dedicated procurement contact prevents vendors from lobbying decision-makers, which can compromise the integrity of the process.

Requirement description: The more precise the specifications, the more comparable the quotes will be. Reference applicable Australian Standards (AS/NZS standards) where relevant. Specify quantity, unit of measure, delivery location (suburb, state, postcode), and required delivery or completion date.

Pricing format: Require vendors to show prices excluding GST with GST stated separately. This is required for tax invoice compliance under the GST Act 1999 and allows you to accurately compare prices and claim input tax credits.

Evaluation criteria and weighting: State clearly how quotes will be assessed. Even if price is the sole criterion, say so. If quality, delivery time, or vendor experience are also weighted, specify the percentages. This is a requirement for Commonwealth procurement and established standards for all organisations.

Submission instructions: State exactly how quotes must be submitted (email, portal, post), the format required, and the consequences of late submission. A clear statement that late quotes will not be accepted removes ambiguity.

Terms: Include a clear statement that the RFQ does not commit the issuer to accept any quote, that the issuer may reject all quotes, and that vendors bear their own costs in responding. Include a confidentiality obligation to protect commercially sensitive specifications.

Additional compliance elements for a Request for Quote (Australia) used in Australia include: Under the Corporations Act 2001 (Cth), the Australian Securities and Investments Commission (ASIC) regulates companies and financial services. Section 127 of the Corporations Act 2001 governs company execution of documents. The Australian Competition and Consumer Commission (ACCC) enforces the Competition and Consumer Act 2010 (Cth). The Australian Taxation Office (ATO) administers the Goods and Services Tax under the A New Tax System (Goods and Services Tax) Act 1999. The Federal Court of Australia and Supreme Courts of each state have jurisdiction over corporate disputes. Forms-legal.com provides this template as a starting point for Australia-compliant documentation.