S.L. 601.3 чл. 261Termination of contracts.

(1) Contracting authorities can terminate any inter alia contract during its term, where:

(a) the contract has been subject to a substantial modification, which would have required a new procurement procedure pursuant to regulation 246;

(b) the contractor has, at the time of contract award, been in one of the situations referred to in regulation 192 and should therefore have been excluded from the procurement procedure;

(c) the contract should not have been awarded to the contractor in view of a serious infringement of the obligations under the Treaties and Directive 2014/24/ EU of the European Parliament and of the Council of 26 February 2014 on public procurement and repealing Directive 2004/18/EC that has been declared by the Court of Justice of the European Union in a procedure pursuant to Article 258 of the TFEU;

(d) the contractor fails to discharge any obligation which he has contracted.

(2) If the contracting authority has no valid reason for the termination, it is to compensate the contractor for all his expenses and work and to pay him a sum to be fixed by the court, according to circumstances, but not exceeding the profits which the contractor could have made by the contract.

(3) If the contracting authority has valid reason for the termination, it is to pay the contractor only such sum which shall not exceed the actual proven expenses and work of the contractor.

(4) Any payment made in advance to the contractor before the termination of the contract shall be applied to the sums due in terms of sub-regulations (2) or (3) and the contractor shall return any resulting excess to the contracting authority.

(5) The contract shall be immediately terminated when the contracting authority informs the contractor, by any means whatsoever, of its decision to terminate the contract, and this without the need of any authorization or confirmation by any court or board.

(6) Contracting authorities listed under Schedule 16 must, in so far as the call for tenders has been published by the Sectoral Procurement Directorate, obtain the approval of their Permanent Secretary before terminating a contract.

(7) (a) The Director has the right to issue a decision terminating any contract or agreement that could have been reached or signed with a contractor if it transpires that the award of that contract has been made in breach of these regulations or else by discriminating between economic operators.

(b) The decision leading to the termination of the contract in accordance with this sub-regulation must be made in writing and must include the findings and the reasons.

(c) A copy of this decision must be delivered to the contractor, who has the right to contest it by filing a compliant before the Review Board as explained under regulation 283.

(d) The termination of the contract will remain suspended as long as the time limit for the submission of the complaint in front of the Review Board or the Court of Appeal lapses and during the duration of these same procedures.

(e) A contractor shall have no right to be compensated for the actual loss or loss of profits, where the decision to terminate the contract is confirmed, with the exception that the contractor will have the right to receive compensation he deserves for the work that he demonstrates to have carried out.

Part IX Remedies

Remedies before Closing Date of a Call for Competition