ENAC v INEA (Judgment) [2016] EUECJ T-695/13 (13 September 2016)

ENAC v INEA (Judgment) [2016] EUECJ T-695/13 (13 September 2016)

The General Court held that the INEA's acts were sufficiently motivated, the fragmentation of contracts for activities 1, 6, and 7 constituted an artificial division of a single service contract in violation of Directive 2004/17/EC, and none of the exceptions to procurement rules applied. The principle of good...

Source-derived case information.

Citation
[2016] EUECJ T-695/13
Parties
Applicant: Ente nazionale per l’aviazione civile (ENAC); Intervener: Società per l’aeroporto civile di Bergamo-Orio al Serio SpA (SACBO SpA); Respondent: Agence exécutive pour l’innovation et les réseaux (INEA)
Jurisdiction
European Union
Procedural Posture
Annulment Action (article 263 Tfeu) / Final Judgment at General Court (third Chamber)
Outcome
Action dismissed
Legal Topics
Financial Aid for Trans European Networks, Eligibility of Costs, Public Procurement Procedures, Fragmentation of Contracts, Principle of Good Financial Management, Protection of Legitimate Expectations, Proportionality, Motivation of Administrative Acts
EU Law Public Procurement Administrative Law Financial Aid for Trans European Networks Eligibility of Costs Public Procurement Procedures Fragmentation of Contracts Principle of Good Financial Management +3 more

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Parties

Ente nazionale per l’aviazione civile (ENAC)

Applicant

Società per l’aeroporto civile di Bergamo-Orio al Serio SpA (SACBO SpA)

Intervener

Agence exécutive pour l’innovation et les réseaux (INEA)

Respondent

Procedural Posture

Annulment Action (article 263 Tfeu) / Final Judgment at General Court (third Chamber)

  1. 1 Whether the INEA's decision to declare certain costs ineligible due to alleged violations of EU public procurement rules was lawful
  2. 2 Whether the acts were sufficiently motivated
  3. 3 Whether the fragmentation of contracts violated Directive 2004/17/EC

Ratio Decidendi

The General Court held that the INEA's acts were sufficiently motivated, the fragmentation of contracts for activities 1, 6, and 7 constituted an artificial division of a single service contract in violation of Directive 2004/17/EC, and none of the exceptions to procurement rules applied. The principle of good financial management was breached, and no legitimate expectations were created by prior approvals. The applicant's arguments on proportionality and other grounds were rejected. The action was dismissed in its entirety.

Court Disposition

Action dismissed

Orders

  • The application is dismissed in its entirety.
  • ENAC is ordered to bear its own costs and those of INEA.