A recent case from the European Court of Justice (ECJ) warns that contracts between public authorities are not exempt from the procurement rules.
The recent case of Kreis Düren was a reference from a German court on whether a contract between two public authorities was a public contract and therefore caught by EU Directive 2004/18.
Kreis Düren (the District of Düren) is an association of local authorities that includes Stadt Düren (the City of Düren). Kreis Düren drew up a contract with Stadt Düren under which Stadt Düren would take over responsibility for cleaning Kreis Düren’s office, administrative and school buildings that were within Stadt Düren. The contract allowed Stadt Düren to use third parties to carry out the services, and it intended to use its own in-house company to do so. Kreis Düren would reimburse Stadt Düren’s costs of carrying out the cleaning services…
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