Press release

Pérez-Llorca analyses the main issues arising from the application of the Public Sector Contracts Law

03/12/2019

The firm organised the second of their “Public Procurement Breakfast Sessions”, a forum for professionals in Pérez-Llorca's Public Law practice to discuss the major developments in this area. On this occasion, three key elements concerning public procurement were addressed: the current situation regarding concession agreements; private financing in connection with concession agreements; and the keys to claims for general expenses against the contracting authority.

Speakers at the second of the “Public Procurement Breakfast Sessions” organised by Pérez-Llorca included Elena Veleiro, Ildefonso Arenas, Natalia Olmos and Miguel Ángel Fernandez, partners and lawyers in the Public Law and Banking and Finance practices at Pérez-Llorca. They discussed topical issues relating to key aspects of public procurement.

Elena Veleiro began the session by explaining the current situation regarding concessions. She provided a general overview of the transformation of this type of agreement following the entry into force of the new law, and then spoke about how it is being interpreted by the major administrative courts and tribunals in terms of the transfer of operational risk, a key element in the new regulation of concession agreements. She also discussed the current status of claims for financial re-balancing of concessions, and concluded that, despite the new regulatory framework, there are still avenues to pursue such claims.

Ildefonso Arenas, a partner in the firm’s Banking and Finance practice, focused his presentation on private financing models in relation to concession contracts. He discussed different financing models, as well as the principal concerns shared by financial entities with regard to financing projects associated with concession agreements. Lastly, he made reference to the system of authorisations and notifications that the law requires in order to carry out the various types of financing.

Miguel Ángel Fernández concluded the event by reviewing the essential keys for claims against the contracting authority. He spoke about the current regulation regarding claims for suspensions and delays in the implementation of public works contracts, as well as the analysis conducted by the Council of State in this regard.

Lastly, the attendees had the opportunity to talk to the speakers and share their practical experiences following the entry into force of the law. Requests for financial re-balancing for concessions, as well as claims for damages incurred due to delays and extensions in relation to carrying out the works, occupied most of the debate.

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