Formal Bidding Process Required To Find Bid-Rigging Violation, Quebec Court Rules

The Superior Court of Québec (Court) recently acquitted an individual charged with bid-rigging under the Competition Act in R. v. Rousseau because the prosecution failed to prove that the alleged bid-rigging occurred in the context of a call or request for bids or tenders.

KEY TAKEAWAYS:

• The prosecution must establish that the customer calling for bids held a formal process, including defining the bid scope, treating all bidders fairly and creating an expectation that one of the conforming bidders will win the contract.
• Companies that call for bids or tenders should consider carefully whether to deviate from their formal bidding process.

BID-RIGGING UNDER THE COMPETITION ACT