Court: partially executed contract is not suitable for public procurement with universal prequalification

23 November 2023, Thursday

To confirm the experience in procurement with universal prequalification, the participant submitted a partially executed contract. The cost of fulfilled obligations under it was more than 20% of the initial (maximum) contract price.

Supervisors and courts supported the customer, who rejected the application:

although the value of the fulfilled obligations under the contract was enough, at the time of filing the application, it still had to be fulfilled for several months. Such a contract does not confirm the experience. Only a fulfilled contract is suitable for this. It should be considered as such after the parties have fulfilled their obligations in full;

one of the conditions to the confirming contract is that the requirements for payment of penalties under it have been fulfilled. Since the contract was at the stage of execution, they could be presented to the counterparty. The customer could not know whether he would act in good faith and pay.

A similar position is taken by the Arbitration Court of the Central District.

 

Document: Resolution of the Arbitration Court of the Ural District of 10.11.2023 in case N A76-40541/2022

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