Contract Requirements with Obligatory Result Contract

According to VOB/A § 9 Nos. 10-12, there is also the possibility of throwing open the proposal for the building works to competition. In this well-known proposal request process, also known as functional proposal request, the description of the service is also provided by the tenderer.

The obligatory results contract of the instructing party describes the purpose of the completed service and should present a detailed description of the required construction task, results of investigations carried out, expert evaluation, executive orders by the authorities, and similar. Only a comprehensive contract requirement will ensure that the tenderer in his offer recognises all the important circumstances and conditions that will permit the instructing party to work out a financial calculation framework.

As the proposal request with obligatory result contract requires much preparatory work on the part of the tenderers, which also needs a lot of effort, the number of tenderers should be limited. This is also in the interests of the inquiring authorities or those who must compare the tenders and evaluate them.

Furthermore, the instructing party must ensure that a contract requirement on the basis of obligatory results is only issued to professional companies with sufficient experience. This can be determined for technically demanding projects, for instance, by a proposal request with public information.