Regulation 20. Penalties

(1) For tenders with an estimated value which falls within the threshold established in regulation 9(1)(b) a contracting authority can impose or remit penalties only after obtaining the permission of the Director.

(2) When a contracting authority listed under Schedule 16 is to remit or impose a penalty in respect to a contract with an estimated value which but does not exceed seven hundred and fifty thousand euro (€750,000) it has to obtain the permission of the Permanent Secretary responsible for it instead of that of the Director.

(3) Where a dispute on a penalty is brought before a court or tribunal, the Director or the Permanent Secretary cannot be sued even though he consented to the imposition of the penalty, however for the integrity of the judgment it is sufficient that the dispute is addressed against the contracting authority.