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Client Query 163:- Hi, wanted to ask whether a Procuring Agency reserve the right to increase or decrease the quantity?

Fayyaz Ahmed, Spain

Answer:-

Dear Fayyaz Ahmed,

Thank you for reaching out with your inquiry. Regarding your question about whether a Procuring Agency has the right to increase or decrease the quantity, the answer largely depends on the specific terms and conditions outlined in the bidding documents related to the procurement process.

In many cases, procurement contracts and bidding documents include a clause that allows for a variation in the quantity of goods or services to be provided. This is often referred to as a ‘variation clause’ or ‘quantity variation clause’. Such clauses are designed to provide flexibility to the Procuring Agency to adjust the quantities based on their actual requirements or changes in circumstances.

However, it is crucial to carefully review the specific terms mentioned in the bidding documents. These terms dictate the extent of the agency’s rights to modify the contract quantity and under what conditions they can do so. Additionally, the terms will usually specify the procedural requirements for implementing such changes, including any necessary notifications or approvals.

If the bidding documents do not explicitly grant the Procuring Agency the right to alter quantities, then they may be restricted from making such changes without mutual consent from the contracted party. It is also important to note that any significant changes to contract terms, including quantities, could potentially be regarded as a new procurement, which may require a separate bidding process.

If you require further assistance or a detailed review of the specific terms in your bidding documents, please do not hesitate to contact us.

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