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TERM

Shell Firm (Colloquial)

A colloquial term for firms established temporarily and without continuity. It is used to describe the participation in a tender, with a view to obtaining an unlawful gain, of persons who do not have the capacity to participate in a tender or to conclude a contract. Such firms may seek to win the tender at a low price and carry out the work to the lowest standard in order to obtain a work experience certificate, bank credit and the like. The duty of contracting authorities is nevertheless to act on concrete evidence and within the limits permitted by the legislation.

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