Legal advice for suppliers

Our law firm has won the title of the Law Firm of the Year 2021 in public procurement awarded by EPRAVO.CZ.

Entities managing finances or other values originating from public sources (taxes and fees in most cases) demand various performances amounting to billions of Czech crowns on a daily basis. These entities can thus represent very profitable customers for suppliers of services and goods. However, the tender procedure for public contracts through which contracting authorities select the most advantageous suppliers is confusing and demanding for many interested parties and is subject to strict state supervision and countless regulations, in particular, Act No. 134/2016 Sb., on public procurement.

Therefore, our law firm provides comprehensive legal advice to suppliers interested in participating in tenders for public contracts, including concessions, during and after the implementation of tender procedures.

Procedure prior to the start of the tender procedure

The responsibility for preparing the tender procedure for a public contract lies primarily with the contracting authority – it determines what kind of performance it demands and chooses the type of tender. The contracting authority also specifies the criteria for selecting the most suitable bid. These usually include the lowest price the supplier is able to offer for the performance, but the contracting authority may also take into account the supplier’s experience or whether the supplier uses environmentally friendly practices.

The contracting authority sets out all its requirements in the tender documentation for the relevant public contract. The supplier may participate in the development of the tender documentation already at this stage, for example, through preliminary market consultations, acting as an “advisor” of the contracting authority.

If the contracting authority has all the documents ready, it can put the public contract out to tender and invite potential suppliers to bid. The way in which the contracting authority initiates the tender procedure varies depending on the type of procedure chosen. In the case of a simplified subthreshold procedure and small-scale public contracts, it is sufficient for the contracting authority to invite potential suppliers to tender; for larger contracts, the contracting authority is obliged to publish a notice of opening the tender in the Journal of Public Procurement and, in the case of contracts exceeding a certain financial limit, in the EU Official Journal. At the same time, the contracting authority is obliged to publish the tender documentation on its profile – mostly on portals such as Tender arena, NEN or E-ZAK.

Preparing a bid for a tender procedure

Now, it is the supplier’s turn to prepare its bid exactly according to the conditions set by the contracting authority. Since tender documentation often contains numerous legal, technical and administrative requirements, we strongly recommend that suppliers use experts services when preparing their bids. Therefore, we provide legal assistance to suppliers in all acts necessary to ensure participation in tender procedures and other procedures under Act No. 134/2016 Sb., on public procurement. 

Advice during tender procedures

The tender terms and conditions defined by the contracting authority may be unclear, imprecise, confusing or contradictory. Therefore, the contracting authority usually communicates with suppliers during the implementation of tender procedures for public contracts to eliminate any ambiguities and contradictions. Unfortunately, in some cases, the contracting authority’s requirements may discriminate against some of the participants or, on the contrary, favour others.

We provide all legal services to suppliers to ensure a smooth, and above all, fair tender procedure.

Selecting the most advantageous bid

Once the deadline for submitting bids expires, the contracting authority proceeds to evaluate them and select the most advantageous one. In order to avoid any arbitrariness on the part of the contracting authority, the criteria for selecting the most advantageous bid must be specified in the tender documentation. The contracting authority is also obliged to notify the supplier of its actions to enable the suppliers to monitor the tender evaluation process. Finally, the outcome of the process is the selection of a supplier who has submitted the most advantageous bid and with whom the public contract will be concluded.

Advice on contracts with the contracting authority

Of course, the need for legal advice does not end with the successful selection of a supplier. In order for the supplier to actually start performing the public contract, a contract must be concluded with the contracting authority. Moreover, the need to amend or supplement the contract may arise in the course of the performance. Therefore, after the conclusion of a public contract, we provide the suppliers with all legal advice related to the concluded contract.

Representation in adversary proceedings

Disputes may arise between the contracting authority and the supplier before, during or after the tender for a public contract, which must ultimately be resolved before the Office for the Protection of Competition or in court. Such disputes usually arise in connection with the contracting authority’s illegal procedures, incorrectly set tender conditions or other bad practices of the contracting authority. Our law firm offers legal representation to suppliers in these cases.

Other legal advice

In addition to the above activities, our law firm provides suppliers with individual advice, taking into account their specific requirements. Our services include, in particular, the preparation of legal opinions and other advisory services in specific situations.

Our firm’s portfolio guarantees that we are able to provide highly professional legal advice to all suppliers and participants in tender procedures for public contracts and concessions, regardless of the subject-matter or value of the requested performance. 

What issues do we typically deal with in legal advice for suppliers?

• What are the necessary steps to ensure participation in the tender procedure?
• Do the tender conditions comply with the law?
• What to do if the contracting authority acts unlawfully?
• Legal advice in preliminary market consultations
• How to draft a contract amendment?
• How to prepare a request to participate, an indicative bid and a bid?
• How to prepare objections to the tender documentation and actions of the contracting authority?
• Comprehensive legal advice in connection with the supplier’s possible participation in a public contract
• Requests to clarify the tender documentation and communication with contracting authorities
• Preparing the supplier’s objections to the contracting authority’s acts
• Checking the setting of tender conditions in terms of compliance with the public procurement law, the decision-making practice of the Office for the Protection of Competition and the practice of administrative courts
• Controlling and supervising the negotiation committees appointed by the contracting authority
• Reviewing the compliance of the tender procedure and the contracting authority’s acts with the law, including the decision to select a supplier
• Assessing the possibility of amending the contract with regard to statutory rules
• Preparing a proposal for the review of the contracting authority’s acts and a motion to be submitted to the Office for the Protection of Competition (hereinafter the “Office”)
• Representing the supplier before the Office
• Preparing appeals against first instance decisions by the Office
• Preparing an administrative action against the Office’s decision on the appeal
• Representing the supplier before administrative courts