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PUBLIC PROCUREMENT
Can the Procurement Regulatory Authority of Zimbabwe (PRAZ) ask for Security for Costs?
In order for a potential or actual bidder to challenge procurement proceedings in Zimbabwe they must in terms of Section 73(4) of the Public Procurement and Disposal of Public Assets Act [Chapter 22:23] as read with section 44 of the Public Procurement and Disposal of Public Assets (General) Regulations 2018 pay security for costs.
It is important to note that the payment of security for costs to challenge procurement proceedings is not made to the Procurement Regulatory Authority of Zimbabwe (PRAZ), but to the procuring entity.
The courts have determined that the payment of security for costs in procurement proceedings does not infringe a potential or actual bidder’s Constitutional rights to administrative justice. see Electricity Management Service Ltd v Procurement Regulatory Authority of Zimbabwe & Others HH 287-122.
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