What are the rules of the contract negotiation in bidding under the single-stage one-envelope process in Vietnam?

Main Content

• Who can negotiate the contract when bidding under the single-stage one-envelope process in Vietnam?
• What are the rules of the contract negotiation in bidding under the single-stage one-envelope process in Vietnam?
• What are the contents of contract negotiation in bidding under the single-stage one-envelope process in Vietnam?

Who can negotiate the contract when bidding under the single-stage one-envelope process in Vietnam?

Pursuant to Clause 1, Article 19 of Decree No. 63/2014/ND-CP stipulating as follows:

Contract negotiation in Vietnam

1. The bidder who has seized the first position in the bidder's rating shall be eligible for the contract negotiation. If any bidder who is invited to negotiate the contract has not turned up or refused to proceed to the contract negotiation, they are not allowed to reclaim their tender guarantee.

Thus, when bidding under the single-stage one-envelope process, the bidder who has seized the first position in the bidder's rating shall be eligible for the contract negotiation.

What are the rules of the contract negotiation in bidding under the single-stage one-envelope process in Vietnam?

What are the rules of the contract negotiation in bidding under the single-stage one-envelope process in Vietnam?

Pursuant to Clause 2, Article 19 of Decree No. 63/2014/ND-CP and Clause 3, Article 19 of Decree No. 63/2014/ND-CP stipulating as follows:

Contract negotiation in Vietnam

…

2. Contract negotiation shall be based on the followings:

a) Report on evaluation of the bidding documents;

b) Bid package and bidder’s records of clarification of bid package;

c) Bidding solicitation.

3. Rules of the contract negotiation:

a) Contents of the bid package that satisfy the requirements of the bidding documents do not need to be negotiated;

b) Contract negotiation is not allowed to change the quoted bid after error correction, deviation adjustment and discount deduction (if any). While evaluating bid packages and negotiating contracts, if workloads specified in the bill of quantities are lower than these mentioned in the design documentation, the soliciting party must request contractors to make up for this inadequacy on the basis of the quoted price; if a bid package has not provided the quoted price, procuring entities shall send reports to investors for consideration and decision on fixing the price in the approved estimate for these inadequate workloads or the price quoted by other bidders who have passed the technical evaluation

c) Negotiation over the negative deviation value shall comply with regulations specified in Point d Clause 2 Article 17 of this Decree.

Thus, the contract negotiation shall be based on the followings:

- Report on evaluation of the bidding documents;

- Bid package and bidder’s records of clarification of bid package;

- Bidding solicitation.

Rules of the contract negotiation:

- Contents of the bid package that satisfy the requirements of the bidding documents do not need to be negotiated;

- Contract negotiation is not allowed to change the quoted bid after error correction, deviation adjustment and discount deduction (if any).

While evaluating bid packages and negotiating contracts, if workloads specified in the bill of quantities are lower than these mentioned in the design documentation, the soliciting party must request contractors to make up for this inadequacy on the basis of the quoted price;

If a bid package has not provided the quoted price, procuring entities shall send reports to investors for consideration and decision on fixing the price in the approved estimate for these inadequate workloads or the price quoted by other bidders who have passed the technical evaluation;

- Negotiation over the negative deviation value shall comply with regulations specified in Point d Clause 2 Article 17 of Decree No. 63/2014/ND-CP.

What are the contents of contract negotiation in bidding under the single-stage one-envelope process in Vietnam?

Pursuant to Clause 4, Article 19 of Decree No. 63/2014/ND-CP, the contents of contract negotiation in bidding under the single-stage one-envelope process include:

- Unspecified, inappropriate and inconsistent contents between bidding documents and bid packages or in the same bid package shall be negotiated to prevent any possible dispute or unexpected impact on the contractual obligations of contracting parties;

- Deviations that have been found by the contractor and contractor’s recommendations (if any), including possible alternatives which contractors are allowed to provide according to relevant bidding regulations;

- Personnel issues in respect of construction and mixed contracts:

In the course of negotiation, selected bidder is not allowed to change their key personnel as proposed in the bid package for those who are in charge of design and survey (in respect of construction and mixed contracts that require contractors to implement one or two design steps prior to construction), construction site, except the case in which the evaluation time is extended longer than the regulated time or because of unexpected events that dissuade these key personnel from participating in the contract execution.

In such case, contractors have the right to change other personnel but must ensure the substitute employees prove qualification, experience and capability equivalent to or higher than proposed personnel and bidders are not allowed to change their quoted bids;

- Any issue that arises during the selection of contractors (if any) in the aim of completing detailed contents of the contract;

- Other necessary issues.