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Government Tenders in Saudi Arabia: Challenging the Award

Your company submitted a lower price and, in your view, a higher technical score. Then the tender was awarded to a competitor. Time here is very short: only a few working days separate the award announcement from the signing of the contract, and after signing it is hard to fix things.

The direct answer: you can file a grievance with the government entity against the award decision during the standstill period, which is 5 to 10 working days after the award is announced, when the contract may not be signed. If your grievance is rejected, or the entity does not decide it within 15 working days, you have only 3 days to file a grievance with the Grievance Review Committee, with a guarantee equal to half the initial bid bond (Articles 86 and 87 of the Government Tenders and Procurement Law).

What is the standstill period after a tender award?

After issuing and announcing the award decision, the government entity must observe a standstill period of no less than five and no more than ten working days. During it, the award may not be approved and the contract may not be signed, so that competitors can file grievances (Article 53 of the Government Tenders and Procurement Law).

What are the grievance stages and deadlines?

  1. Grievance to the government entity: against any decision before the award, within five working days of the decision, and against the award decision, during the standstill period. The entity must decide within 15 working days, or its silence is treated as a rejection (Article 87).
  2. Grievance to the Grievance Review Committee within three days of being notified of the rejection, or of the end of the period without a reply. The committee decides within 15 working days, which can be extended by the same period (Article 87).
  3. The committee's decisions bind the government entity. The complainant provides a guarantee equal to half the value of the initial bid bond, which is returned if the grievance proves justified (Article 86).

The right to file a grievance is not limited to the award decision. You can file a grievance against any decision the entity makes before the award, such as a technical exclusion of your bid, within five working days of the decision (Article 87). Many bidders lose this right because they wait for the award result.

StageDeadline
Standstill period after the award announcement5 to 10 working days
Grievance against a decision before the award5 working days from the decision
Entity's decision on the grievance15 working days, otherwise treated as rejected
Grievance to the committee3 days from the rejection or the end of the period
Committee's decision15 working days, extendable by the same period

What happens if the grievance is accepted?

The entity does not complete the contracting procedures until the standstill period ends without grievances, or the grievances are decided. If a grievance is accepted, the irregular procedures are corrected where possible; otherwise the tender is cancelled. If the correction results in another bid winning, the bidder whose bid was displaced is given a chance to file a grievance (Article 87).

Example

A building maintenance tender has an estimated value of SAR 8 million and an initial bid bond of SAR 160,000. The award is announced on Sunday with a standstill period of five working days.

A company's bid was excluded because its classification certificate had "expired", although it had been renewed before the bid opening date. It files a grievance with the entity on Tuesday, attaching the renewed certificate.

The entity does not reply within 15 working days, so the company files a grievance with the committee within three days and provides a guarantee of SAR 80,000, which is returned if its grievance proves justified.

Can you go to the Administrative Court?

The Board of Grievances Law gives the administrative courts jurisdiction over cases to cancel final administrative decisions, including decisions of quasi-judicial committees, cases for compensation for decisions and acts of the administration, and cases about contracts to which the administration is a party (Article 13 of the Board of Grievances Law). If the entity breaches its obligations under an existing contract, the contractor may claim compensation before the Administrative Court (Article 92 of the Government Tenders Law). But the court route is much longer than the standstill period, so a timely grievance remains the fastest tool.

The deadlines here are in working days and are very short; some are only three days. Calculate them from the actual date of the announcement or notification. File the grievance even with brief reasons and complete the documents later, instead of missing the deadline while you prepare a complete file.

This is general information based on the official Arabic texts of Saudi laws, which prevail over any translation. It is not legal advice for your specific case.

Practical solutions for the losing and the winning bidder

If you are a losing bidder:

  • Check the award announcements daily on Etimad, the unified government procurement portal, because the period starts from the announcement.
  • File a grievance against an exclusion decision as soon as it is issued, within five working days. Do not wait for the award.
  • Identify the breach precisely: an evaluation criterion that was not applied, a non-compliant bid that was accepted, or a condition that was not announced.
  • Prepare the required guarantee before filing with the committee.
  • If the entity rejects your grievance or stays silent for 15 working days, go to the committee within three days.

If you are the winning bidder:

  • Do not start work before the standstill period ends and any grievances are decided.
  • Prepare evidence that your bid met the conditions in case it is challenged.
  • Follow any correction the entity makes, because it may affect your award.

A tender grievance is a race against the calendar. Send us on WhatsApp the award announcement or exclusion decision and the tender documents as soon as you receive them, and we will assess the grounds for a grievance with you the same day.

Need advice on your own case?

Every case turns on its own facts and documents. Send us a short summary and we'll arrange a session with a licensed Saudi lawyer who will tell you clearly where you stand.

Frequently asked questions

How long is the standstill period after a tender award in Saudi Arabia?

From five to ten working days after the award is announced. During it, the award may not be approved and the contract may not be signed (Article 53).

Is a guarantee required to file with the committee?

Yes. It equals half the value of the initial bid bond and is returned if the grievance proves justified (Article 86).

What if the entity does not reply to my grievance?

Its silence for 15 working days is treated as a rejection, and you can file with the committee within three days (Article 87).

My bid was excluded before the award. Should I wait for the winner to be announced?

No. File a grievance against the exclusion within five working days of the decision (Article 87).

Are the grievance committee's decisions binding on the government entity?

Yes. Its decisions bind the entity under Article 86.

Legal referencesGovernment Tenders and Procurement Law (1440H): Articles 53, 86, 87, 92Board of Grievances Law: Article 13

General information, not legal advice. The official Arabic texts of Saudi laws prevail over any translation. Disclaimer

ALKANANI LIBRARY

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