Unfair Competition Case: Dispute on Bid-rigging of One Electric Power Equipment Company

When participating the bidding on purchase and installation of safety hanging hole cover plate equipment of some hydroelectric station owned by Huaneng, Jiangsu Taibiya Electric Power Equipment Co.,Ltd. found that the other two bidding enterprises are suspected of bid-rigging, therefore, it entrusted legal team of Chambers Yang to raise up lawsuit.

Legal team of Chambers Yang has collected and organized evidences on a solid basis to this end.  By comparing in sequence the quotation data of the ex-factory price, freight and sundry charges, insurance fee and unit price of installation submitted by the two defendants, team has found that there existed regular differences between the bidding quotation of the two defendants as a whole which falls into the circumstance of bid-rigging of bidders under Implementing Regulations of Tendering and Bidding Law.  In addition, team has also certified that the same cases were quoted in the Past Performance Part of the bidding documents of the two defendants, and one employee of one defendant worked for another defendant as bidding representative.  All the above can prove that the two defendants had cooperation relationship and conducted bid-rigging.  Therefore, the court affirmed that Taibiya had submitted sufficient evidences to prove the two defendants’ bid-rigging and judged that the two defendants shall bear compensation for damages.  For the compensation, the court has not only supported the direct economic loss of Taibiya incurred due to the bid-rigging of the two defendants including all normal expenses such as the production cost of bidding documents, investigation fee, travelling fee and interest of bid bond, etc., but has also supported the indirect loss of Taibiya incurred which is the loss of reasonable profit of winning the bidding.