Client Query 183:- Hi, wanted to ask that in case of contracts for hiring of services, specifically for outsourced staff, is it allowed to incorporate in tender documents for Annual Contract that “in case of satisfactory services/performance, the contract may be extended for another year”? The initial tender is for one year but incorporating this clause can allow it to be extended for another year without re-tendering. The rationale is to save additional costs and time on re-tendering, hiring, training etc. of outsourced staff every year.
Hassan Nawaz, UK
Answer:- Thank you very much for writing to us. As per your query, the answer to it is this that after addition of above said clause in the bidding documents the contract period can be extended for a period of another year without retendering.
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