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Public procurement: Public service contracts and national courts 1

United Kingdom
10/02/1998
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Public service contracts and national courts

The European Court of Justice (ECJ) has clarified the duties of national courts where a Member State failed to translate into domestic law the Directive on public service contracts.

The 1992 Directive regulating the award of public service contracts requires Member States to ensure an effective review of the award of public service contracts, although Member States are free to decide which authority is to carry out such reviews. In Germany, where this case arose, there is a body to hear challenges to the award of public supply and public works contracts, but no such body for public service contracts.

The ECJ ruled that it was for the relevant German authority to determine whether German law allowed individuals to challenge the award of public service contracts. If domestic law does not allow this, individuals suffering damage could claim compensation against the State for the failure properly to implement the Directive.

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