Contracting Authorities May Exclude Tenderers On Basis Of Criminal Charges

Grave professional misconduct as exclusion

Under Austrian (and EU) public procurement law, authorities can exclude economic operators that are considered unreliable and therefore unsuitable to be awarded a public contract. Accordingly, contracting authorities will exclude from procurement procedures economic operators that have been convicted of either criminal offences (eg, fraud, money laundering or bribery) or other offences relating to their professional conduct. The latter typically excludes bidders that have been convicted of offences in relation to employment conditions, health and safety in the workplace and environmental standards. Both grounds for exclusion require the existence of a final and binding criminal judgment.