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[:uk]Judgment of the Court (Fourth Chamber) of 17 October 2024.NFŠ a.s. v Slovenská republika konajúca prostredníctvom Ministerstva školstva, vedy, výskumu a športu Slovenskej republiky and Ministerstvo školstva, vedy, výskumu a športu Slovenskej republiky.Reference for a preliminary ruling – Public procurement of works, supplies and services – Directive 2004/18/EC – Concept of ‘public works contracts’ – Collection of agreements comprising a grant agreement and an undertaking to purchase – Direct economic interest for the contracting authority – Work corresponding to the requirements specified by the contracting authority – Grant and undertaking to purchase constituting State aid compatible with the internal market – Directive 89/665/EEC – Directive 2014/24/EU – Consequences of a finding that a public contract is ineffective – Absolute invalidity ex tunc.Case C-28/23.[:]

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Analysis of Legal Provisions

Directive 2004/18/EC on Public Contracts

Article 1: Definitions

Public Contracts are defined as contracts for pecuniary interest concluded in writing between one or more economic operators and one or more contracting authorities. These contracts involve the execution of works, the supply of products, or the provision of services within the scope of the directive.
Public Works Contracts specifically refer to contracts that involve the execution or both the design and execution of works related to activities listed in Annex I. Additionally, they include the realization of a work that meets the requirements specified by the contracting authority. A “work” is the outcome of building or civil engineering activities sufficient to fulfill an economic or technical function.
Contracting Authorities encompass the State, regional or local authorities, bodies governed by public law, and associations formed by such authorities or bodies governed by public law.

Directive 2014/24/EU on Public Procurement

Article 1: Scope

This directive establishes rules for the procurement procedures of contracting authorities concerning public contracts and design contests, especially those with values not less than the thresholds outlined in Article 4.

Article 2: Definitions

Contracting Authorities include the State, regional or local authorities, bodies governed by public law, and associations formed by such authorities or bodies governed by public law.
Public Contracts are contracts for pecuniary interest concluded in writing between one or more economic operators and one or more contracting authorities, involving the execution of works, the supply of products, or the provision of services.
Public Works Contracts are a subset of public contracts focused on the realization of works based on requirements specified by the contracting authority, with the contracting authority exerting decisive influence over the type or design of the work.

Article 83: Enforcement

Member States must ensure effective implementation by designating competent authorities, bodies, or structures. These entities are responsible for monitoring the application of public procurement rules. If violations or systemic problems are identified, they are empowered to refer these issues to national auditing authorities, courts, tribunals, or other appropriate bodies.

Article 90: Transposition

Member States are required to adopt necessary laws, regulations, and administrative provisions to comply with this directive by April 18, 2016.

Article 91: Repeal

Directive 2004/18/EC is repealed effective from April 18, 2016.

Directive 89/665/EEC on Review Procedures for Public Contracts

Article 1: Scope and Availability of Review Procedures

Member States must ensure that decisions by contracting authorities regarding public contracts can be effectively reviewed. These review procedures should be accessible to any person with an interest in obtaining a particular contract who has been or may be harmed by an alleged infringement.

Article 2d: Ineffectiveness

A contract can be deemed ineffective if it was awarded without prior publication of a contract notice in the Official Journal of the European Union, unless permissible under relevant directives. The consequences of such ineffectiveness are governed by national law, which may include the retroactive cancellation of contractual obligations.

Slovak National Laws

Law No 40/1964 on the Civil Code

Any legal act that contravenes or circumvents the law, or is against accepted moral principles, is considered void.

Law No 25/2006 on Public Procurement

Paragraph 3(3): Defines a works contract as one involving the execution or both design and execution of construction works related to specified activities, ensuring that the constructed works fulfill economic or technical functions as required by the contracting authority.
Paragraph 147a: Establishes that contracts concluded in breach of public procurement laws can be declared invalid by the Public Procurement Regulatory Authority or the public prosecutor within one year of their conclusion.

Law No 343/2015 on Public Procurement

Paragraph 3(3): Expands the definition of a works contract to include contracts for the execution of works, regardless of the formatting by the contracting authority, as long as the authority exerts decisive influence over the construction type or design.
Paragraph 181: Provides that interested parties may apply to a court to declare contracts void if public procurement procedures were breached, with specific time limits for raising such claims.[:]

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