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Public contracts - methodology

Contractual acts

Changes to the contract

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Changes to the contract

Various types of instrument can be used to supplement or modify a current contract. These are primarily :

Additional clause

An additional clause is used to incorporate in a contract any changes that may be necessary after its notification.

An additional clause requires the approval and hence signature of both parties. Any change relating to a reciprocal obligation clause must be covered by an additional clause (e.g. price, deadline, funding conditions, etc.).

Any additional clause that has a cost impact exceeding 5% of the value of the contract must be submitted to the Tender Board for approval.

An additional clause forms an integral part of the contract, and is subject to the same procedures as the initial contract (signature, monitoring, etc.).

An additional clause must have no major impact on the economic conditions of the contract, nor on its scope.

Special act

This is an act that can be used in place of an additional clause in the two cases mentioned below.

As with the additional clause, it requires the approval and signature of both parties, and takes the same form. However, it does not have to be forwarded in advance to the Special Contract Board (CMS). However, it must be submitted for signature by the financial control department prior to release.

The two special cases where the use of a special instrument is appropriate are :

-  Acceptance of a sub-contractor entitled to direct payment,
-  Setting a firm price resulting from a technical change requested under Article 19 of the CCAG/MI, provided the cost impact of the change does not exceed 10% of the initial value of the contract or € 2,700,000 exc. tax.

Decisions

The principal decisions which can affect a contract are those that :

-  Allow deferment or extension of deadlines (see data sheet on this subject),
-  Authorise exemption from penalties (see data sheet on this subject),
-  Cancel the contract (with a cancellation deduction), as the administration’s right to cancel a contract is a prerogative of the public authority.

More about

French CCAG, MINEFI web site

Délégation générale pour l'armement