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The Possibility of Imposing a Fine on Both Parties Due to Unlawful Contract Amendment (Case C-263/19 T-Systems Magyarország)

Tünde Tátrai

DOI https://doi.org/10.21552/epppl/2022/3/9

Keywords: contract modification, fine, proportionality

Case C-263/19 T-Systems Magyarország Zrt., BKK Budapesti Közlekedési Központ Zrt. v Közbeszerzési Hatóság Közbeszerzési Döntőbizottság, Judgment of the Court of Justice (Fourth Chamber) of 14 May 2020
Typically, public procurement rules address the preparation of the procedure or the conduct of procedural acts up to the conclusion of the contract. A novelty of the 2014 Directives is that they provide a much wider opportunity for contract amendment, thus the period of performing the contract becomes increasingly emphatic in regulation. CJEU rulings more and more frequently articulate governing interpretations in relation to contract performance in connection with, for instance, the involvement of subcontractors under a public procurement contract. Recently, the CJEU brought an exceedingly important ruling, which considers the relationships of responsibility of the parties in initiating contract amendments. The question does not concern primarily the unlawful amendment of the contract but the issue to what extent the bidder or the contracting party can be made liable for an unlawful contract amendment. In this case, the CJEU regarded it as appropriate to impose a fine on both contracting parties for an unlawful contract amendment.

Prof Dr Tünde Tátrai, Professor of Economics, Corvinus University of Budapest, Hungary. For correspondence: <mailto:tunde.tatrai@uni-corvinus.hu>.


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