4/17/2019 Case law: Awarding tenders after the validity period lapsed - Smartprocurement Review

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Case law: Awarding tenders after the validity period lapsed SP REVIE
Case law * Email Address

Awarding tenders after the validity period lapsed * First Name

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By Advocate Helen Venter Surname
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Telkom SA Ltd v Merid Trading (Pty) Ltd and others; Bihati Solutions (Pty) Ltd and others [2011] JOL 26617 (GNP):
* Contact Number
Facts in case
* Company Name
Telkom invited a proposal for the provision of network services. Tender documentation contained a provision that conditions and proposals were to remain
valid for acceptance for 120 days, expiring on 12 April 2008. By 12 April 2008, Telkom shortlisted 15 proposals but had not yet accepted any. After the expiry Postal Address
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date, Telkom invited the shortlisted bidders to extend validity of their proposals. Only some responded. Telkom awarded the tender to 6 of the shortlisted
bidders. Complaints were lodged by some unsuccessful bidders and after receiving legal advice, Telkom applied to Higher Court to have the awards set- Postal Code
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aside.

Judgement * City

The High Court held that the purported extension of the bid validity period, after the validity period lapsed, was unlawful. As soon as the bid validity period * Select Province
had expired, without having made an award, the tender process is complete, albeit unsuccessfully. The institution is no longer free to negotiate with the
shortlisted bidders. Any negotiations to extend the bid validity period after its expiry lacks transparency and is neither equitable nor competitive. * Select Country

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