Global Procurement Quarterly - Spring 2015

RIGHT TO MODIFY?

When can an existing public contract be amended without undergoing a new procurement process?

By Alistair Maughan and Sarah Wells

Across Europe, public bodies are under increasing pressure to streamline their services and ensure that their relationships with suppliers continue to deliver value for money. It is therefore common for a public body to seek to amend its existing contract to meet evolving requirements. But the EU procurement rules impose limits on the legitimacy of contract amendments, and that presents risks for both authorities and contractors.

Under the EU procurement regime, if amendments to an existing public contract are too extensive, the public body may find itself in breach of the public procurement regime – with the result that the amendment is susceptible to the risk of legal challenge.