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Article
The shared burden of procurement compliance on major projects

Date:
06 Jan 2010
 

PPP projects advertised through the Official Journal of the European Union (OJEU) after 20 December 2009 are subject to important new rules on the debriefing of unsuccessful bidders.

If a procuring authority fails to comply with the new rules on the debriefing of unsuccessful bidders, or seeks to vary the contract materially post-award, the contract will be vulnerable to being declared ineffective by the courts - according to Graeme Young, senior associate at Dundas & Wilson.

In this article we highlight the key risks for PPP projects presented by the new Remedies Directive, which was implemented in the UK with effect from 20 December 2009, and the implications for both procuring authorities and for the successful bidders awarded the contracts.

Importantly, one of the implications of the new rules is that the potential risk of a challenge to the procurement process or the contract award is now shared much more heavily with the successful bidder and any banks or other organisations providing funding to the project.

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