To settle a dispute amicably when performing a public contract

Verified 15 December 2023 - Legal and Administrative Information Directorate (Prime Minister)

Disputes arising in connection with the performance of a public contract shall generally be settled in accordance with the procedure laid down in consultation documents. However, if the dispute persists, alternative dispute resolution mechanisms may be available to resolve the dispute before it goes to a judge, such as mediation by companies or the CCRA.

The Ombudsman for companies may be consulted in the event of a dispute relating to the performance of a public contract (for example: unjustified deductions, abusive penalties, etc.) between a economic operator and a public purchaser.

Its role is to open a negotiation to find a amicable solution to the dispute.

Refer to the companies Ombudsman

The device is free. Mediators are present throughout the country.

All trade is covered by the strictest confidentiality. Anyone can stop it at any time.

The mediator does not make a decision for the parties. Following the mediation, a Memorandum of Understanding is drawn up and signed by both parties. If the parties cannot reach an agreement, they must turn to other methods of settling disputes.

CCRA, what is it?

The Public Buyer or Contract Holder may refer a dispute to the Mutual Resolution Advisory Committees (CARACs) when a dispute arises during the performance of a procurement.

Depending on the public purchaser concerned, either the national committee or a local committee should be consulted:

  • The national committee for the amicable settlement of disputes relating to public procurement. It shall be competent for contracts awarded by the central services of the State and by the services and bodies with national competence where the contracts in question cover requirements exceeding the area of a single local committee.
  • The local committees The parties shall have jurisdiction where the public contract is awarded by a local authority, its grouping or public establishments or the decentralized departments of the State.

These committees are not jurisdictions. They issue opinion, whether the purchasers or the holders of the contracts are free to follow or not.

The committee seised shall deliver its opinion within six-month period from the date of referral. This period may exceptionally be extended by periods of one month, up to a maximum of three months, in the event of particular difficulties in examining the case.

The decision taken by the purchaser on the advice of the committee shall then be notified to the contract holder and the secretary of the committee. If the parties decide to follow the advice given, they may conclude a transaction or sign a rider.

If this is not the case, either party may bring the matter before the administrative judge.

How do I refer to an advisory board?

For seize a committee, you have to send a brief explaining the grounds of dispute, nature and amount of claims. Contract documents, correspondence between the parties and any other documents relating to the dispute must also be provided.

This file must be sent by registered letter with notice of receipt or deposited against receipt to the secretariat of the competent committee. An additional paperless dispatch may be sent by e-mail to the secretariat of the Committee.

Referral and instruction of a committee shall be free of charge. The costs of sending and copying the documents, as well as the costs of legal counsel (which is not compulsory) shall remain at the expense of the person seizing the documents.

Communications and exchanges of information with the Committee may then be carried out by electronic means.

FYI  

The request of the contract holder to the public purchaser to refer the matter to the Committee shall not constitute a referral to the Committee.

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