Contract law. Public competition (most important)

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Contract law. Public competition (most important)

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71. PUBLIC COMPETITION

A person who has publicly announced the payment of a monetary reward or the issuance of another award (payment of an award) for the best performance of work or the achievement of other results (public competition) must pay (give out) a conditional award to the one who, in accordance with the terms of the competition, is recognized as its winner.

The subject of a public competition is better performance of work or achievement of other results. A public competition, which, unlike bidding competitions, ends with the payment of a reward, may also include an obligation to conclude an agreement with the winner of the competition.

Types of public competition:

a) open - the organizer cannot refuse anyone to accept the submitted works or to evaluate the results achieved. This does not exclude the right of the organizer of the public competition to carry out pre-qualification in the form of selection among applicants;

b) closed - a public competition in which the organizer sends an offer to participate to a certain circle of persons of his choice.

Rights and obligations of parties in a public competition.

The person who announced a public competition has the right not only to refuse to hold a competition, as provided for in paragraph 3 of Art. 448 of the Civil Code of the Russian Federation, but also to change its conditions (clause 1 of article 1058 of the Civil Code of the Russian Federation). Both that and another in relation to public competition only before the expiration of a half of term which has been established in the notification for submission of work; moreover, such a notice must be made by all means in the same way that a public competition was announced at one time.

Any person who has completed the work named in the announcement before he became or should have become aware of the cancellation or change in the conditions of the competition, granted the right to demand reimbursement of expenses that he has incurred up to the specified moment. Expenses are considered incurred in connection with the competition and in accordance with its terms, unless the person who announced the public competition proves otherwise (in particular, that the work was done out of connection with such a competition or knowingly does not comply with its conditions).

If the announcer of the competition canceled or changed its conditions in violation of the procedure or deadlines established for this, he is obliged to pay a reward to anyone who performed the work in accordance with the conditions of the competition.

A person who has announced a public competition for the best work of science, literature and art, has a pre-emptive right to conclude an agreement with the author of a work awarded a conditional award on the use of the work with the payment of a certain remuneration to the author.

Author: Rezepova V.E.

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