Legal Updates

Lack of good faith of a tender participant may cause the disqualification even after such participant ‎was declared the winner of the tender

May 9, 2017
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Published in Afik News 231 24.05.2017

A company won a tender for services but later it was suspected of price fixing and the tender committee cancelled the win.  The company moved the Court against such resolution and also requested that it will not enter into effect until a Court verdict.

The Court held that the principal of good faith and the tender laws bring to the conclusion that a participant who deviated from its obligations or acted in bad faith will lose its winning at any stage of the tender.  The Supreme Court rejected a motion to hold the entry into effect of the resolution and held that in a tender for services the non-grant of a temporary order does not create an irrevocable situation that may not be reprimanded and because the participant may file a monetary claim for damages if it wins the legal proceedings it is not customary to hold a verdict.

 

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