Participation in Public Tenders

Q: Do I have to register a company in Bulgaria in order to take part in public tenders? If I have a local partner, do I have to set up a joint venture in Bulgaria in order to take part in public tenders?

A: As a matter of first principles, any individual or organization can take part in a public procurement process in Bulgaria, irrespective of whether they are Bulgarian or foreign resident or registered.

Consortia and associations of such persons enjoy this right likewise.

However, the awarding authority would typically issue tender documentation containing precise requirements regarding the legal form, legal, financial and technical capabilities expected of participants in the tender.

It is a common for organizations to form joint ventures with local partners in order to more easily meet the requirements set by the awarding authority. Local partners may have good know-how and this may be one of the reasons why you wish to work with them, but you and they do not have to form a joint venture. A joint venture can be structured as either a new organization separate from those of the two joint venture partners or as a contractual arrangement negotiated with a local partner.



Recent work:

A win in an insurance exclusion clause dispute at the Supreme Court

NBLO's dispute resolution team, led by Yordan Neshkov, secured a success against a large Bulgarian insurer in a claim brought on behalf of a UK national, who had lost her property in a fire. The insurer had refused to pay out under the insurance, on the grounds that a widely drawn clause in its general terms allegedly excused it from paying whenever there was a breach of building regulations, even if (as was accepted in this case) this breach was invisible externally, could not be discovered through reasonable investigation and was not caused by the insured. NBLO had good reasons to argue that this position was unsupported in the Bulgarian Insurance Code or civil law generally and persuaded the Supreme Cassation Court to back it. This is covered more fully in an article on our website.

© New Balkans Law Office 2018