The exorbitant powers regulated by Law No. 737, Law of Administrative Contracts of the Public Sector

Abstract

The exorbitant powers regulated by Law No. 737, Law of Administrative Contracts of the Public Sector, and its Regulations, their main objective is to protect the public interest in each of the administrative contracts. The previous regulation include traditional powers such as direction, control and supervision, modification, extension, suspension, resolution and termination of the contract and, finally, to imposse fines and execute waranties. However, it is possible to find out certain terminological inaccuracies, omissions in the procedures regulations and contradictions between the Law and its Regulations, and even contradictions within the regulation instruments themselves. All the above make difficult to apply efficiently the powers when the public interest demand it. As a result, this article provides an analysis of these situations in order to provide solutions and amendment proposal to the Law No. 737 and its Regulations.