When might a proprietary purchase be considered appropriate?

A proprietary purchase becomes appropriate when the specifications demand a unique product or service that cannot easily be fulfilled by multiple suppliers. In such cases, the specific needs or requirements of the project or the organization dictate that only one supplier, or a limited number of suppliers, can provide the desired product or service. This may arise in situations involving specialized technology, custom-designed systems, or unique software solutions that are critical to the operation or goals of the entity making the purchase.

In contexts where multiple suppliers can meet the specifications, competitive pricing is available, or market demand is high, a proprietary purchase would not be justified. These scenarios suggest that alternative options are available, which would typically lead to a competitive bidding process rather than solely relying on a proprietary agreement. Thus, unique requirements are the key factor that validates the decision to proceed with a proprietary purchase.