Seven per cent of all advertised procurements are reviewed in court. The amount of time for processing the review in the Administrative Court can vary considerably. Long processing times negatively affect both suppliers and the contracting authorities. These conclusions are drawn in a report published by the Swedish Competition Authority.
Half of the review cases in the Administrative Courts are handled within seven weeks (1.7 months). But processing times differ greatly, not only between different courts but also between cases heard by the same court.
All public procurements can be reviewed in the Administrative Court if a supplier believes that the procuring authority has acted wrongly during the procurement. Around seven per cent of all advertised procurements are submitted for review. The Swedish Competition Authority has produced new figures on the considerable variations in processing times.
Last year, ten of the twelve Administrative Courts had cases where the processing time exceeded six months. The longest was a case with a processing time of almost 22 months.
In 29 per cent of cases under review, the petitioner (supplier) won. The sector in which the reviews are the most common is the procurement of transportation.
Cases decided in the Administrative Court, which were granted leave to appeal in the Administrative Court of Appeal, had an average total processing time of 6.5 months in 2012, calculated from the time the case was received by the Administrative Court to the judgment from the Administrative Court of Appeal. The cases appealed to the Supreme Administrative Court that were granted leave to appeal had a processing time of 13.1 months on average.
It is best to carry out procurements in accordance with the rules and in such a way that it does not result in a review. However, a procurement may be reviewed in the courts, and all contracting authorities must take this into consideration when making plans", says the Swedish Competition Authority Director-General Dan Sjöblom.
The Swedish Competition Authority has previously recommended that agencies should include the time for reviews in two instances when planning procurements.
"The new data concerning costs and long processing times means that we will now investigate whether it is appropriate to keep this general recommendation", says Dan Sjöblom.
For further information, please contact:
Jimmy Dominius, Press Officer, tel. +46 (0) 8 700 15 80, or
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Stefan Jönsson, Project Manager, tel. +46 (0) 8 700 15 95