What are conditions for signing procurement contracts for bidding packages in the CPTPP Agreement in Vietnam?

What are conditions for signing procurement contracts for bidding packages in the CPTPP Agreement in Vietnam?

Article 82 of Decree 95/2020/ND-CP stipulates the conditions for signing procurement contracts for bidding packages in the CPTPP Agreement, as follows:

1. At the time of signing, the bid documents and proposals of the selected contractor are still valid.

2. At the time of signing, the selected contractor must ensure that it meets the technical and financial capacity requirements to carry out the bidding package. If necessary, the investor will verify information about the contractor's capacity, and if it still meets the requirements for implementing the bidding package, then sign the contract.

3. The investor must ensure the conditions of advance capital, payment capital, implementation site and other necessary conditions under their responsibility to implement the bidding package on schedule.

What documents are included in procurement contracts for bidding packages in the CPTPP Agreement in Vietnam?

According to Article 83 of Decree 95/2020/ND-CP, regulations on procurement contract documents for bidding packages in the CPTPP Agreement include the following documents:

1. Contract documents include the following documents:

a) Contract documents;

b) Contract appendix includes a detailed list of scope of work, price schedule, and implementation schedule (if any);

c) Decision to approve the contractor selection results.

2. In addition to the documents specified in Clause 1 of this Article, depending on the scale and nature of the bidding package, the contract documents may include one or several of the following documents:

a) Minutes of contract completion;

b) Written agreement between the parties on the conditions of the contract, including general conditions and specific conditions;

c) Bids, proposals and documents clarifying bids and proposals of the selected contractor;

d) Bidding documents, request documents and documents amending and supplementing the bidding documents and request documents;

d) Relevant documents.

What are conditions for signing procurement contracts for bidding packages in the CPTPP Agreement in Vietnam? (Image from the Internet)

What is performance guarantee for procurement contracts in the CPTPP Agreement in Vietnam? 

Pursuant to Article 84 of Decree 95/2020/ND-CP regulating implementation of procurement contracts for bidding packages in the CPTPP Agreement, as follows:

1. Contract performance guarantees apply to selected contractors, except contractors providing consulting services.

2. The selected contractor must take measures to ensure contract performance before signing the contract or before the contract takes effect. Contract performance security is implemented by one of the methods of deposit, escrow or submission of a letter of guarantee from a domestic credit institution or foreign bank branch established under Vietnamese law.

3. Based on the scale and nature of the bidding package, the contract performance guarantee value is specified in the bidding documents and request documents at a level determined from 2% to 10% of the contract price.

4. The effective period of the contract performance guarantee is calculated from the date the contract takes effect until the date the parties complete their obligations under the contract or the date they switch to performing the warranty obligations in cases where there are warranty regulations. In case it is necessary to extend the contract performance period, the contractor must be requested to correspondingly extend the validity period of the contract performance guarantee.

5. The contractor is not entitled to return the contract performance guarantee in the following cases:

a) Refuse to perform the contract when the contract is already in effect;

b) Violatie contractual agreements;

c) Perform the contract behind schedule due to its own fault but refusing to extend the validity of the contract performance guarantee.

Best regards!