The war in Ukraine very seriously affects our reality – also the economic one. It turns out that – if only because of the large outflow of workers from Ukraine – serious problems may arise in the public procurement market. How to deal with them?
In fact, there is no doubt that WAR constitutes a FORCE MAJEURE, which may be invoked by parties to a contract demanding changes to its content. This also applies to public procurement contracts.
Thus, if the CONTRACTORS perceive a real threat to the timely and correct performance of the contract due to reasons resulting from the war in UKRAINE, they should notify the CONTRACTING AUTHORITY about this fact.
This may include the outflow of workers already mentioned, as well as difficulties in obtaining suitable materials due to military actions on Ukrainian territory or the imposition of sanctions on Russia.
In case of stipulating a contractual penalty for late performance, the CONTRACTOR MAY EXCEED ITS LIABILITY BY CALLING FOR FORCE MAJEURE.
At the same time, in such circumstances, it is worthwhile to consider MAKING APPLICABLE AMENDMENTS TO THE PUBLIC CONTRACT AGREEMENT. By doing so, you can counteract the negative effects of war on the procurement market.