Sometimes, government institutions issue private invitations to tender for a contract. This means that a select number of interested parties is invited to submit a tender. In such a situation, there is no subsequent public invitation to tender. This tendering procedure is permitted for contracts of which the value does not exceed the European threshold amounts.
In principle, parties not invited to submit a tender are expected to just accept that. The government is free to select parties as it sees fit. This is the prevailing view.
However, there are exceptions, for example if the objective of the invitation is to submit a contract to all the local entrepreneurs with a certain knowledge and expertise. In such case, it is unlawful for one of those entrepreneurs to be left out.
This means that the ignored entrepreneurs can claim compensation. To that end, the relevant entrepreneur will have to convince the court that it would probably have been awarded the contract. If it succeeds in that, it can claim compensation to the amount of the benefit it would have obtained from the contract.
Further information
For additional information please feel free to contact Daniël van Genderen.
