The Third Section of the Administrative Court of the Court of First Instance of Alicante has turned down the appeal made by the company that won the contract to expand and upgrade the Enric Valour high school in El Campello. So, it agreed with the El Campello City Council’s decision to end the contract because there were severe problems with how the project was being carried out.
The decision fully backs the city’s actions and confirms the penalty of €71,812.24. It also tells the business to pay the court expenses. You can appeal the ruling, therefore it is not final.
The court ruled that the corporation caused major delays and almost stopped the construction. Different technical checks that were done while the contract was being carried out confirmed these conditions. In light of this, the City Council decided to end the contract and levy fines.
Punishments that follow the law
The court’s decision makes it clear that the fines are neither unfair or unreasonable because they are based on objective criteria that the corporation agreed to when it took part in the bidding process. The judge says clearly that “the amount set is not arbitrary or disproportionate, and it is based on objective criteria that the contracting company agreed to when they bid.”
The verdict also makes it clear that the administrative act in question is fully justified, with a full analysis of the facts, supporting technical reports, and the legal foundation for it. The verdict says that “the challenged administrative act is sufficiently justified, incorporating a statement of the facts, the technical reports on which it is based, and the applicable legal basis.”
Holds up, runs out of resources, and stops work
The court looks at how the work has progressed since it started. It also says that the Project Management Team’s monthly reports already showed that there was a big delay in the first few months of construction. The verdict said that after more than six months of the contract period, just about 3.38% of the work had been done.
The technical studies kept saying that there weren’t enough people and resources. They also showed that there weren’t enough responsible technicians on the job, that there wasn’t enough planning, and that the work stoppages lasted too long.
The judge says that the City Council’s actions were completely legal and that the fines were fair. Also, by choosing a less severe punishment than ending the contract right away, the Council gave the company the chance to renegotiate its performance. The verdict said that “the El Campello City Council’s actions were completely legal and used the powers given to it by public sector contract law in a fair and reasonable way, without violating the appellant’s rights.”

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