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ARTICLE · 07 MARCH 2018

Clyde Procure Alert: Maintaining The Automatic Suspension - Buyer Beware

The Court has upheld an automatic suspension of a contract award, going against a recent trend of such suspensions being lifted.

United KingdomLitigation, Mediation & Arbitration

Lancashire Care NHS Foundation Trust & Blackpool Teaching Hospitals NHS Foundation Trust v Lancashire County Council [2018]

The Court has upheld an automatic suspension of a contract award, going against a recent trend of such suspensions being lifted. This is a cautionary tale for public bodies making applications to lift suspensions, and develops the law in this area.

The Court applied a number of established tests and the case was the first to apply the Supreme Court's decision on damages in Nuclear Decommissioning Agency v Energy Solutions EU Ltd ("NDA") in the context of the interim application to lift the automatic suspension of a contract award.

In late 2017, Lancashire County Council ("the Council") ran a Light Touch Regime procurement under the Public Contract Regulations 2015 ("the PCR"), for part of its "0-19 Healthy Child Programme" (a nursing and mental health programme for babies, children and adolescents, worth an estimated £104m).

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