What is a Framework Agreement?
A framework agreement is an arrangement between one or more contracting authorities and one or more companies that establishes the terms for future individual contracts, eliminating the need for separate procurement procedures for each call-off.
Legal Basis
Framework agreements are governed by § 21 VgV with a maximum duration of 4 years. The framework itself is awarded through regular procurement procedures, while individual call-offs follow simplified mechanisms.
Types
Single-supplier framework: Individual orders are placed directly with the contract partner under pre-agreed terms.
Multi-supplier framework: At least three companies participate. Individual orders are awarded either under fixed terms or through mini-competitions among framework partners.
Mini-Competition
For multi-supplier frameworks, the authority can run simplified competitions among framework partners: invitation to all partners, reasonable deadline for bids, and award to the best offer.
Benefits
For authorities: efficiency through avoiding full procurement for each order, flexibility for demand-based call-offs, and better conditions through volume bundling. For companies: revenue predictability, reduced bidding effort, and long-term business relationships.