A lawyer’s role in public tenders

abogados para contrataciones públicas en Panamá : Public Procurement lawyers in Panama

A company with the opportunity to participate in a public tender knows that this type of project can catapult its business to new heights, offering unprecedented opportunities to grow and commitment to the community. However, the path to preparing a successful public bid is fraught with complexities, from intricate legal frameworks to the nuances of public procurement.

Public procurement lawyers play a crucial role in the public tender process. Their expertise become invaluable, transforming legal challenges into a road map to successful collaboration between a public entity and a private enterprise.

The fair and objective procedure

The public tender process, designed for companies interested in offering their goods and services, begins with the publication of  bidding documents in the PanamaCompra system. These documents contain a detailed list that indicates what the company must do, what they will receive in return, and what steps they must follow to sign the contract and carry out the work. They contain the rules of the game, which are expressed clearly and fairly, ensuring that everyone has an equal opportunity to participate.

Then, depending on the type of selection procedure, a series of specific steps are followed. In the case of a public bidding in Panama, according to the Consolidated Text of Law 22 of June 27, 2006, ordered by Law 153 of 2020, which regulates public procurement, the steps are the following:

Call for bids: The bidding is announced by publication, as established in the amount, in those public acts greater than B/.50,000.00 (50.000,00 balboas)
Submission of Bids: The bidders supply their bid with price, proposal bond, and technical proposal according to the statement of objections. These are delivered at the place and date stipulated in the statement of objections. It is important to note that for bids greater than B/.500,000.00, proposals without a bid bond or proposals with amounts or validity lower than those established in the statement of objections will be rejected immediately.
Establishment of the Verification Commission: Before the opening of bids, the entity designates a commission of suitable professionals in the subject to be hired, whose designation resolution will be published with the Commission´s Report.
Minutes of the selection ceremony: After learning about the proposals, a minutes is drawn up that includes details of the offers admitted or rejected, including the price and the name of the participants. This minutes is published in PanamaCompra.
Correction of Documents and Proposal Evaluations: After proposals are submitted, within three working days,the documents are corrected, carried out, and sent to the Verifying Commission so that they evaluate the proposals and prepare a report.
Report of the Verification Commission: If the bidder with the cheapest bid complies with everything requested in the statement of objections, the Commission will recommend its award. This report is published in PanamaCompra.
Participants’ comments: Once the Verification Commission publishes the report, participants have three working days to comment on the report.
Entity´s Decision: After the observation period, the entity has two working days to accept the report and adjudicate or declare the selection act void or otherwise issue a reasoned resolution ordering a partial or total reanalysis of the report. If no pronouncement is made, the report is considered accepted.

There is an alternative scenario where a single bidder meets all the requirements of the statement of objections and submits a suitable bid to the State, in which case the award can be granted directly.

In Panama’s competitive public tenders landscape, having the support of specialist lawyers offers a distinctive advantage that can help you stand out from your competitors. The right advice can improve the viability and sustainability of a project, ensuring that your bid reflects the best interests of your company, and, at the same time complies with the requirements of the bidding entity and public procurement laws.

At Mónica Castillo Arjona – Law Firm we understand the complexity of public procurement and the preparation of the contracts that accompany it. Our experience is guided by a deep knowledge of administrative law, nourished by our experience advising dozens of projects in each phase, from the assembly of the offer to the final delivery.

We provide robust legal advice to ensure your business is built on a foundation of legal excellence.

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