[2017] KEHC 906 (KLR)

[2017] KEHC 906 (KLR)

The court found that the Public Procurement Administrative Review Board acted ultra vires and unlawfully by annulling the award to the applicant and awarding the tender to the interested party in the absence of technical and financial evaluation criteria in the tender documents. The Board's decision to evaluate and...

Source-derived case information.

Citation
[2017] KEHC 906 (KLR)
Parties
Applicant: Furniture Elegance Limited; Respondent: Public Procurement Administrative Review Board; Respondent: Kenya Marine & Fisheries Research Institute; Respondent: Attorney General; Interested Party: Lyape Investments
Court
High Court
Court Station
High Court at Nairobi (Milimani Commercial Courts)
Jurisdiction
Kenya
Case Number
Miscellaneous Civil Application 621 of 2016
Procedural Posture
Miscellaneous Application / Judgment
Outcome
Application for judicial review allowed in part; order of certiorari granted; prohibition declined; each party to bear own costs.
Judges
RE Aburili
Legal Topics
Judicial Review, Public Procurement, Tender Evaluation, Ultra Vires Actions, Procedural Fairness, Statutory Compliance
Source Language
en
Administrative Law Commercial and Corporate Judicial Review Public Procurement Tender Evaluation Ultra Vires Actions Procedural Fairness Statutory Compliance

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Parties

Furniture Elegance Limited

Applicant

Public Procurement Administrative Review Board

Respondent

Kenya Marine & Fisheries Research Institute

Respondent

Attorney General

Respondent

Lyape Investments

Interested Party

Procedural Posture

Miscellaneous Application / Judgment

  1. 1 Whether the Public Procurement Administrative Review Board acted ultra vires in annulling the tender award and awarding the tender to the interested party despite lack of technical and financial evaluation criteria in the tender documents.
  2. 2 Whether the contract entered into between the procuring entity and the interested party before expiry of the statutory 14-day period was valid.
  3. 3 Whether the Review Board had jurisdiction to impose costs and penalties for alleged disobedience of its orders.

Ratio Decidendi

The court found that the Public Procurement Administrative Review Board acted ultra vires and unlawfully by annulling the award to the applicant and awarding the tender to the interested party in the absence of technical and financial evaluation criteria in the tender documents. The Board's decision to evaluate and award the tender based solely on financial value, without a valid technical evaluation process, was contrary to Section 80(2) of the Public Procurement and Asset Disposal Act. The purported contract entered into before the expiry of the statutory 14-day period was declared null and void, as it violated Section 175(1) of the Act, which provides for an automatic statutory stay....

Court Disposition

Application for judicial review allowed in part; order of certiorari granted; prohibition declined; each party to bear own costs.

Orders

  • An order of certiorari is issued quashing the decision of the Public Procurement Administrative Review Board made on 1st December 2016 in Application No. 94/2016.
  • The purported contract entered into on 7th December 2016 between the procuring entity and the interested party is declared null and void.