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11 September 2015

Steiner AG welcomes Federal Court judgement

CEO Daniel Ducrey: "A victory for common sense"

Steiner AG has welcomed the Federal Court's judgement concerning the awarding of the construction contract for the Riviera-Chablais hospital. Steiner AG had itself lodged an appeal against a decision by Vaud Administrative Court after it reversed the award decision on grounds of formal legal shortcomings based on competing companies' objections.

For the CEO of Steiner AG, Daniel Ducrey, the court's verdict is understandable: "In a multi-criteria analysis, Steiner AG clearly received the best rating. Vaud Administrative Court subsequently identified inaccuracies in the tender issuer's evaluation amounting to around 0.5% of the order volume – and there were more than 110,000 tender items." The Administrative Court consequently stipulated that the entire tender process be repeated. Just like one of the three judges in the administrative court, the Federal Court also considered this action to be disproportionate.

Daniel Ducrey is convinced that the Federal Court's overturning of the Vaud Administrative Court verdict will send out a signal: "The Federal Court has thus clearly demonstrated that it considers objections based on minor formal inaccuracies to be inadmissible. It has shown that it is not willing to delay construction projects and generate additional costs – which are ultimately incurred by taxpayers – if the award decision is clear in material terms and was taken in the correct manner." 

Another contentious point was the question of when a candidate has to submit a bank guarantee to cover the contractually agreed financial penalties in the event of potential construction delays. In this specific case the hospital had stated it would only require a bank guarantee from the successful candidate in the tender process. The Federal Court has now concluded that this is adequate, as the tender process did not include any specific requirements for presenting the type and scope of the bank guarantee. "Hopefully our competitors will in future carefully consider the consequences of such appeals for a project and for the general public before lodging an appeal on the pretext of formal legal shortcomings that effectively blocks the construction project," commented Daniel Ducrey. Steiner is confident that the next steps in the construction of the Riviera-Chablais hospital can now proceed swiftly. This will ensure that primary healthcare services are available to 180,000 people in the cantons of Vaud and Valais in the future.

Steiner AG
Steiner AG, one of the leading project developers, total and general contractors (TC/GC) in Switzerland, offers comprehensive services in the fields of new constructions, refurbishment and Real Estate Development. The company, which was established in 1915, has constructed more than 1200 residential construction projects, 540 commercial properties, 45 hotels and 150 infrastructure facilities such as universities, schools, hospitals, prisons and retirement homes. Steiner AG has its headquarters in Zurich and is represented by branches in Basel, Berne, Geneva, Tolochenaz, Lucerne and St. Gallen.
 

Information for the media
Claude Sulser
Head HR & Corporate Communications
Phone: +41 58 445 20 12
claude.sulseranti spam bot@steineranti spam bot.ch 

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