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England and Wales High Court (Technology and Construction Court) Decisions |
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You are here: BAILII >> Databases >> England and Wales High Court (Technology and Construction Court) Decisions >> Geodesign Barriers Ltd v The Environment Agency [2015] EWHC 1121 (TCC) (29 April 2015) URL: http://www.bailii.org/ew/cases/EWHC/TCC/2015/1121.html Cite as: [2015] EWHC 1121 (TCC) |
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QUEEN'S BENCH DIVISION
TECHNOLOGY AND CONSTRUCTION COURT
Rolls Building Fetter Lane, London, EC4A 1NL |
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B e f o r e :
____________________
Geodesign Barriers Limited |
Claimant |
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- and - |
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The Environment Agency |
Defendant |
____________________
(instructed by Wright Hassall LLP) for the Claimant
Mr David Gollancz and Mr Paul Bury
(instructed by Environment Agency Legal Services) for the Defendant
Hearing date: 16 April 2015
____________________
Crown Copyright ©
The Hon. Mr Justice Coulson:
1. THE APPLICATIONS
2. THE FACTUAL BACKGROUND
3. THE PLEADED CLAIM AND THE ISSUES ARISING
"(5) In the premises, it is averred that:
(a) The tender process and evaluation conducted by the Defendant was fundamentally flawed.
(b) The Inero solution should have been disqualified on the basis that it was non-compliant with the mandatory specification.
(c) Further, or in the alternative, the price and quality scores allocated to Inero failed to take into account the deficiencies and whole life costs of its solution.
(d) The award of the contract to Inero and the deployment of its untested flood defence system by the Defendant could create significant safety risks for English persons and property in flood areas. It is averred that a breach in a flood defence barriers unleashes forces which cause far greater risks than gradual floodwater damage, including potential loss of life.
(e) In the absence of any other higher bids which are genuinely compliant with the specification, the Claimant should have been awarded the Contract and/or the tender and/or evaluation process should be rerun."
"If the Defendant had disqualified Inero or marked Inero's tender unfavourably, as the claimant contends the Defendant should have done, it would have made no difference to the outcome for the claimants. At most, if Inero had been disqualified, the claimant's tender might have been placed fifth rather than sixth out of the complaint tenders. It follows that the claimant had no chance of winning the contract and has not suffered or risked suffering any loss consequent on the breaches alleged in its Particulars of Claim, which relate exclusively to the evaluation of Inero's tender."
THE LAW
"Specific disclosure or inspection
31.12
(1) The court may make an order for specific disclosure or specific inspection.
(2) An order for specific disclosure is an order that a party must do one or more of the following things –
(a) disclose documents or classes of documents specified in the order;
(b) carry out a search to the extent stated in the order;
(c) disclose any documents located as a result of that search."
Early specific disclosure, in accordance with these provisions, has been a feature of procurement disputes for some time: see, by way of example, the decision of Vos J (as he then was) in Alstom Transport v Eurostar International Ltd [2010] EWHC B32 (Ch).
"20. In my view, the following broad principles apply to applications for early specific disclosure in procurement cases:
(a) An unsuccessful tenderer who wishes to challenge the evaluation process is in a uniquely difficult position. He knows that he has lost, but the reasons for his failure are within the peculiar knowledge of the public authority. In general terms, therefore, and always subject to issues of proportionality and confidentiality, the challenger ought to be provided promptly with the essential information and documentation relating to the evaluation process actually carried out, so that an informed view can be taken of its fairness and legality.
(b) That this should be the general approach is confirmed by the short time limits imposed by the Regulations on those who wish to challenge the award of public contracts. The start of the relevant period is triggered by the knowledge which the claimant has (or should have) of the potential infringement. As Ramsey J said in Mears Ltd v Leeds City Council [2011] EWHC 40 (QB), "the requirement of knowledge is based on the principle that a tenderer should be in a position to make an informed view as to whether there has been an infringement for which it is appropriate to bring proceedings".
(c) However, notwithstanding that general approach, the court must always consider applications for specific disclosure in procurement cases on their individual merits. In particular, a clear distinction may often be made between those cases where a prima facie case has been made out by the claimant (but further information or documentation is required), and those cases where the unsuccessful tenderer is aggrieved at the result but appears to have little or no grounds for disputing it.
(d) In addition, any request for specific disclosure must be tightly drawn and properly focused. The information/documentation likely to be the subject of a successful application for early specific disclosure in procurement cases is that which demonstrates how the evaluation was actually performed, and therefore why the claiming party lost. Other material, even if caught by the test of standard disclosure, is unlikely to be so fundamental that it should form the subject of a separate and early disclosure exercise.
(e) Ultimately, applications such as this must be decided by balancing, on the one hand, the claiming party's lack of knowledge of what actually happened (and thus the importance of the prompt provision of all relevant information and documentation relating to that process) with, on the other, the need to guard against such an application being used simply as a fishing exercise, designed to shore up a weak claim, which will put the defendant to needless and unnecessary cost."
I note that these principles have been adopted in subsequent cases including Covanta Energy Ltd v Merseyside Waste Disposal Authority [2013] EWHC 2964 (TCC). I bear those principles in mind when approaching this application.
5. THE DOCUMENTS SUPPLIED AND THE DOCUMENTS THAT DO NOT EXIST
(a) A document produced after the event, for debriefing/feedback purposes, which compares the scores awarded to both Inero and the claimant in respect of the second stage technical questions. It is on the basis of this comparison document that I have said at paragraph 7 above that the scores awarded to Inero and the claimant for this element of the evaluation were the same. The evidence makes plain that this was not a document which was in existence at the time that the decision was taken to award the contract to Inero. More importantly, it contains no material at all about the first stage of the evaluation process, namely the compliance or otherwise with the mandatory performance specification.(b) The defendant has supplied a copy of the Inero bid in full, with only some (irrelevant) sections redacted.
(c) The defendant has supplied a variety of what are called "summary score sheets" in landscape form. These also appear to be part of the subsequent debriefing/feedback exercise, as opposed to documents produced for or by the decision-making exercise itself. They appear to relate to pricing. As with the comparison document referred to at sub-paragraph (a) above, these sheets make no reference whatsoever to the issue of compliance (or otherwise) with the performance specification.
(d) Some evaluators' notes, in manuscript form, have been provided. They are difficult to assess, not just because they are in manuscript, but because it is hard to correlate what they say with the summary score sheets. One of these documents is apparently said to have been "written on the back of an old notebook".
"a. The deadline for the submission of tender responses was noon on 15 December 2014, with the submission to be made thorough the Procontract portal. The Agency received 10 tenders. Of these 10 tenders 2 were subsequently found not to satisfy the mandatory requirements. These submissions were ruled out following clarification from the bidders that they did not meet the mandatory requirement of holding back flood water to a 1m height.
b. The tenders were assessed by three evaluators, with the assistance of a procurement officer to ensure that the evaluation was carried out fairly. The details and relative experience of the evaluators of the Procurement are outlined in the Defence at paragraph 24 and were provided to Geodesign's solicitors on 22 January 2015. Together these evaluators, of whom two are chartered civil engineers, have more than 60 years of relevant experience. The evaluators are colleagues from different parts of the country and are fair and objective flood risk management professionals. No single evaluator dominated the evaluation and no evaluator felt unable to voice their opinion.
c. No written guidance was provided to the evaluators, although aspects of the evaluation were discussed in emails. The assessment of the tenders was carried out in two stages as detailed in the tender document (see page 5 of the Annex to the Defence). The percentage weighting of each criterion reflected the Agency's financial and operational priorities.
d. Having analysed the tender submissions, two evaluators met in person on 15 December 2014 (with the third joining later that day) and then all three evaluators met on 16 December 2014 to assess the submissions. Firstly they considered whether each tender satisfied the mandatory requirements. This was a binary, or pass/fail decision: the submission either satisfied the mandatory requirements or it did not. Accordingly, the tenders were not scored against the mandatory requirements. Since the assessment against the mandatory requirements was either pass or fail, no separate record of the decision was prepared. Inero's and Geodesign's submissions were (amongst others) found to be compliant."
6. THE APPLICATION FOR SPECIFIC DISCLOSURE
6.1 Categories A and B
27. These categories are defined in the draft order sought by the claimant as follows:
(a) "Any evaluation, technical or other reports drafted by or for the Respondent on the outcome of the evaluation bids and tender process as a whole (category A);
(b) Any evaluation, technical or other reports drafted by or for the Respondent on its assessment of the compliance with the performance specification of the Inero AB bid, the Applicant's bid and/or bids of the Tenderers A, B, C and/or D (such tenderers being those identified by the Respondent at paragraphs 15 and 16 of the Defence) (category B)."
6.2 Category C
(c) "Any guidance and/or instructions provided to the evaluators of the Respondent, including by email, relating to the assessment of whether bids complied with the performance specification (category C)".
6.3 Category D
(d) "Any contemporaneous score sheets and notes (including meeting notes and site visit notes and reports) relevant to the compliance assessment and/or scoring and/or ranking of the Inero AB bid, the Applicant's bid and/or Tenders A, B, C and/or D (category D)".
6.4 Category E
6.5 Category F
(f) "Any written references and/or notes of conversations with referees obtained in the relation to the Inero AB bid, the Applicant bid and/or Tenders A, B, C and D) (category F)."
6.6. Summary
7. THE APPLICATION PURSUANT TO CPR PART 18.1
8. THE APPLICATION IN RESPECT OF AMENDMENTS
9. THE CONFIDENTIALITY RING