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Bidding Law of the People's Republic of China

Source: Issued on: 2009-11-30 00:00:00 Reading volume:

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(Adopted at the 11th Meeting of the Standing Committee of the Ninth National People's Congress on August 30, 1999) Chapter I General Provisions Article 1 In order to regulate bidding activities, protect the national interests, social and public interests, and the legitimate rights and interests of the parties to bidding activities, improve economic efficiency, and ensure the project

(Adopted at the 11th Meeting of the Standing Committee of the Ninth National People's Congress on August 30, 1999)
  
General provisions of the previous chapter
  
This Law is formulated for the purpose of regulating tender and bid activities, protecting the interests of the State, the public interest and the legitimate rights and interests of the parties to tender and bid activities, improving economic benefits and ensuring the quality of projects.
  
Article 2 This Law shall apply to tender and bid activities within the territory of the People's Republic of China.
  
Article 3 The following construction projects within the territory of the People's Republic of China, including the survey, design, construction and supervision of the projects, as well as the procurement of important equipment and materials related to the construction of the projects, must be subject to tender: (1) large-scale infrastructure, public utilities and other projects related to social and public interests and public safety; (2) Projects wholly or partly invested with state-owned funds or financed by the state; (3) Projects using loans and aid funds from international organizations or foreign governments. The specific scope and scale standards of the projects listed in the preceding paragraph shall be determined by the Development and Planning Department of the State Council door It shall be formulated jointly with the relevant departments of the State Council and submitted to the State Council for approval. Where the law or the State Council makes it necessary to invite bids other If the scope of the project is specified, such provisions shall prevail.
  
Article 4 No unit or individual may break up a project subject to tender according to law into parts or evade tender in any other way. Article 5 Tendering and bidding activities shall follow the principles of openness, fairness, impartiality, honesty and credibility.
  
Article 6 Tendering and bidding activities for projects subject to tender according to law shall not be restricted by regions or departments. No unit or individual may illegally restrict or exclude legal persons or other organizations outside the region or system from participating in bidding, and may not illegally interfere in bidding activities in any way.
  
Article 7 Tendering and bidding activities and the parties concerned shall be subject to supervision according to law. Relevant administrative supervision departments shall supervise bidding activities according to law, and investigate and deal with illegal acts in bidding activities according to law. The administrative supervision over bidding activities and the specific division of functions and powers of relevant departments shall be formulated by the State Council.
  
Chapter II Bidding
  
Article 8 A tenderer is a legal person or other organization that proposes a project subject to tender or conducts tender in accordance with the provisions of this Law.
  
Article 9 If a project subject to tender needs to go through the project examination and approval procedures in accordance with the relevant provisions of the State, it shall go through the examination and approval procedures first and obtain approval. The tenderer shall have the corresponding funds or the source of funds for the project subject to tender has been determined, and shall state it truthfully in the tender documents.
  
Article 10 Bidding is divided into public bidding and invited bidding. Public bidding means that a tenderer invites unspecified legal persons or other organizations to submit bids in the form of a tender announcement. Invitational bidding means that a tenderer invites a specific legal person or other organization to submit a bid in the form of an invitation to bid.
  
Article 11 Where a national key project determined by the development planning department of the State Council or a local key project determined by the people's government of a province, autonomous region or municipality directly under the Central Government is not suitable for public bidding, an invitation for bidding may be conducted with the approval of the development planning department of the State Council or the people's government of a province, autonomous region or municipality directly under the Central Government.
  
Article 12 A tenderer shall have the right to choose a tender agency on his own and entrust it to handle tender matters. No unit or individual may designate a bidding agency for the tenderee in any way. A tenderer who has the ability to prepare tender documents and organize bid evaluation may handle tender matters on his own. No unit or individual may compel it to entrust a bidding agency to handle bidding matters. For a project subject to tender according to law, if the tenderer handles the tender on his own, he shall report to the relevant administrative supervision department for the record.
  
Article 13 A bid invitation agency is a social intermediary organization established according to law, engaged in bid invitation agency business and providing relevant services. A bid invitation agency shall meet the following requirements: (1) It shall have a business site and corresponding funds to engage in the bid invitation agency business; (2) Having the corresponding professional strength to prepare the bidding documents and organize bid evaluation; (3) There is a pool of experts in technical, economic and other fields who meet the conditions specified in the third paragraph of Article 37 of this Law and can be selected as members of the bid evaluation committee.
  
Article 14 The qualifications of a bid invitation agency engaged in the bid invitation agency business for construction projects shall be determined by the construction administrative department of the State Council or the people's government of a province, autonomous region or municipality directly under the Central Government. The specific measures shall be formulated by the construction administrative department of the State Council in conjunction with the relevant departments of the State Council. The competent department for qualification determination of a bid invitation agency engaged in other bid invitation agency businesses shall be prescribed by the State Council. The bid invitation agency shall not have any subordinate relationship or other interest relationship with the administrative organ and other state organs.
  
Article 15 A bid invitation agency shall handle the bid invitation within the scope entrusted by the bid inviter and abide by the provisions of this Law on bid inviters.
  
Article 16 If a tenderer adopts the method of public bidding, it shall issue a tender announcement. The tender announcement of a project subject to tender according to law shall be published through newspapers, information networks or other media designated by the State. The tender announcement shall specify the name and address of the tenderer, the nature and quantity of the project subject to tender, the place and time of implementation, and the method for obtaining the tender documents.
  
Article 17 If a tenderer adopts the method of invitation to bid, it shall issue invitations to bid to three or more specific legal persons or other organizations that are capable of undertaking the project subject to bid and have good credit standing. The invitation for bid shall specify the matters specified in the second paragraph of Article 16 of this Law.
  
Article 18 A tenderer may, according to the requirements of the project subject to tender, require potential bidders to provide relevant qualification certificates and performance information in the tender announcement or invitation for bids, and examine the qualifications of potential bidders; If the State has provisions on the qualifications of bidders, such provisions shall prevail. The tenderee of the new China model contract shall not restrict or exclude potential bidders with unreasonable conditions, and shall not discriminate against potential bidders.
  
Article 19 A tenderer shall prepare tender documents in accordance with the characteristics and needs of the project subject to tender. The bidding documents shall include all the substantive requirements and conditions such as the technical requirements of the bidding project, the criteria for the qualification examination of bidders, the requirements for bid quotation and bid evaluation criteria, as well as the main terms of the contract to be signed. If the State has provisions on the technology and standards of a project subject to tender, the tenderer shall, in accordance with such provisions, put forward corresponding requirements in the tender documents. If a project subject to tender needs to be divided into bid sections and determine the construction period, the tenderer shall reasonably divide the bid sections and determine the construction period, which shall be clearly stated in the tender documents.
  
Article 20 Tender documents may not require or indicate specific producers and suppliers or contain other contents that tend to or exclude potential bidders.
  
Article 21 A tenderer may, according to the specific conditions of a project subject to tender, organize potential bidders to survey the project site.
  
Article 22 A tenderer may not disclose to others the names and number of potential bidders who have obtained tender documents, as well as other information concerning tender and bid that may affect fair competition. If the tenderer has a base bid price, it must be kept confidential.
  
Article 23 If a tenderer makes necessary clarifications or amendments to the tender documents already issued, it shall notify all the recipients of the tender documents in writing at least 15 days before the deadline for submission of tender documents required by the tender documents. Such clarification or modification is an integral part of the Bidding Document.
  
Article 24 A tenderer shall determine the reasonable time needed for bidders to prepare their bid documents; However, for projects subject to tender according to law, the period from the date of issuance of the tender documents to the deadline for bidders to submit their tender documents shall not be less than 20 days.
  
Chapter III Bidding
  
Article 25 A bidder is a legal person or other organization that responds to a tender and participates in bidding competition. If an individual is allowed to participate in the bidding of a scientific research project subject to tender according to law, the provisions of this Law on bidders shall apply to the individual bidding.
  
Article 26 A bidder shall have the ability to undertake the project subject to tender; If the relevant provisions of the State stipulate the qualifications of bidders or the bidding documents stipulate the qualifications of bidders, bidders shall meet the prescribed qualifications.
  
Article 27 A bidder shall prepare his bid documents in accordance with the requirements of the tender documents. The bid documents shall respond to the substantive requirements and conditions set forth in the bidding documents. If the bidding project belongs to construction, the contents of the bidding documents shall include the resumes and achievements of the project leaders and key technical personnel to be dispatched, as well as those to be used to complete the bidding project mechanical equipment Etc.
  
Article 28 A bidder shall deliver his bid documents to the place of submission before the deadline for submission of bid documents as required by the tender documents. After receiving the bid documents, the bid inviter shall sign for preservation and shall not open them. If there are fewer than three bidders, the tenderer shall invite bids again in accordance with this Law. The bid inviter shall reject the bid documents delivered after the deadline for submission of bid documents required by the bidding documents.
  
Article 29 A bidder may, before the deadline for submission of bid documents as required by the tender documents, supplement, modify or withdraw his submitted bid documents and notify the tenderer in writing. The contents supplemented and modified are an integral part of the bidding documents.
  
Article 30 According to the actual situation of the project specified in the bidding documents, the bidder intends to take the part of the winning project that is not the main body or relevant key If sexual work is subcontracted, it shall be clearly stated in the bid documents.
  
Article 31 Two or more legal persons or other organizations may form a consortium and submit their bids jointly as one bidder. Each party of the consortium shall have the corresponding ability to undertake the bidding project; If the relevant provisions of the State or the bidding documents stipulate the qualifications of bidders, all parties to the consortium shall meet the corresponding qualifications. For a consortium composed of units in the same discipline, the qualification level shall be determined according to the units with lower qualification level. Each party of the consortium shall sign a joint bidding agreement, clearly specifying the work and responsibilities to be undertaken by each party, and submit the joint bidding agreement together with the bidding documents to the tenderee. If the consortium wins the bid, all parties of the consortium shall jointly sign a contract with the tenderer and bear joint liability to the tenderer for the winning project. A tenderee may not force bidders to form a consortium to jointly submit their bids, nor may it restrict competition among bidders.
  
Article 32 Bidders shall not collude with each other in their bid quotations, nor shall they exclude other bidders from fair competition, nor shall they harm the lawful rights and interests of the tenderer or other bidders. A bidder may not collude with the tenderer in bidding to damage the national interests, social and public interests or the legitimate rights and interests of others. Bidders are prohibited from bribing the tenderee or members of the bid evaluation committee to win the bid.
  
Article 33 A bidder may not bid at a price lower than the cost, nor may he bid in the name of another person or resort to fraud in other ways to win the bid.

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