Overview
This regulation requires that a framework agreement must be established on the basis of the procedures set out in procurement legislation. Framework agreements may be set up on a single-supplier or multi-supplier basis and their term must not exceed four years, except where justified in exceptional circumstances.
This regulation also sets out the relevant requirements when awarding call-off contracts. These rules differ depending on whether call-off contracts are awarded directly to an appointed supplier or awarded by means of re-opening competition.
In all circumstances, call-off contracts awarded under a framework agreement must not modify substantially the framework terms.
Objective at this commercial stage
The procurement documents must set out transparently the rules applicable to the establishment of the framework agreement and the basis for the award of call-off contracts.
Key considerations at this commercial stage
Contracting authorities should:
- ensure that the maximum value of the framework agreement is clearly identified in the procurement documentation, including the maximum value of any lots
- ensure that the potential users of the framework agreement are clearly identified in the procurement documentation and any limitations on the contracts that may be awarded by such users
- ensure that the maximum value of the framework agreement (including maximum value of any lots) and the identity of potential users is realistic, and determined by reference to relevant information and investigations as appropriate
- clearly set out in procurement documentation the terms and conditions relevant to the award of subsequent call-off contracts
- to the extent that direct awards are required, establish at the outset all the terms relating to the provision of the goods, works or services.
Legal framework
See also in the Procurement Act 2023:
- Section 45: Frameworks
- Section 46: Frameworks: competitive selection process
- Section 47: Frameworks: maximum term
- Section 48: Frameworks: implied terms
- Section 49: Open frameworks
Additional support and guidance
Make sure you:
- read the regulation
- seek legal and commercial advice in the context of specific procurements
