Harmon CFEM Facades (UK) Ltd v Corporate Officer of the House of Commons
[1999] 67 Con LR 1
Ratio Decidendi
A contracting authority that breaches the EU procurement rules by treating a tenderer unequally is liable in damages for the tenderer's wasted costs and loss of profit.
Facts
Harmon tendered for a contract to supply and install fenestration for Portcullis House (the new parliamentary building). Despite submitting the lowest compliant tender, Harmon was not awarded the contract. Harmon alleged the process was manipulated to favour a British competitor.
Judgment Summary
Judge Humphrey Lloyd QC held that the House of Commons had breached the Works Directive by discriminating in favour of a British tenderer. The court awarded Harmon damages including loss of profit on the contract it should have won.
Key Quotes
"The Directives require that tenders are evaluated objectively and without discrimination. A tenderer who is treated unfairly is entitled to damages for the opportunity it has lost."
— Judge Humphrey Lloyd QC
Subsequent Treatment
Seminal case on remedies for procurement law breaches in England and Wales.