Natural persons as bidders in the procurement system of Bosnia and Herzegovina Cover Image

Fizička lica kao ponuđači u sistemu javnih nabavki BiH
Natural persons as bidders in the procurement system of Bosnia and Herzegovina

Author(s): Rifat Zlomužica
Subject(s): Law, Constitution, Jurisprudence, EU-Legislation
Published by: Fondacija Centar za javno pravo
Keywords: Law on Public Procurement; Bosnia and Herzegovina; Procurement of services; Natural person;

Summary/Abstract: The Law on Public Procurement for Bosnia and Herzegovina (hereinafter: PPL) regulates area of public procurements. Bases for the adoption of this law are the “EU Directives”. The fact that regulation of public procurement is a novelty in Bosnia and Herzegovina has caused appearance of legal loopholes in defining the term “natural person” in PPL. Unclear definition of term “natural person” has provoked different interpretations. Analyzing provisions of the Law, it shows that under the term “natural person” the legislator considers a natural person who is registered as a business entity in accordance with the Law on Enterprises. Due to this general formulation, the provisions of the law permit dual interpretation of the physical entities in the procurement procedure “Conducting a Design Contest”. Contracting authorities interpreted differently these unclear terms so in practice we have found that individuals who are not registered economic entities had participated in the procurement procedure as bidders. Final version of the Law Draft clearly defines that in addition to physical and legal persons as economic entities, the right to participate in the Design contest have also individuals who are not registered as business entities. Using the negotiated procedure without publication of a procurement notice, a contract on procurement of services may be concluded with above mentioned persons as with winners of the competition. In addition, the legislator must take into account other regulations that apply to certain areas, when defining the concept of natural persons. As an example, regulations in construction industry require that designer can be a natural or legal person registered for the activity. If a legislator wants the new law to retain the right to participate in the Design Contest for individuals who are not registered as business entity, the term of such person need to be further standardized.

  • Issue Year: 4/2013
  • Issue No: 11
  • Page Range: 10-19
  • Page Count: 10
  • Language: Bosnian, Croatian, Serbian