Section 3: Cost control of contracts awarded by the State and its public establishments

If the contractor fails to provide the purchaser, within the time limit set by the purchaser, with information on the technical and accounting elements of the cost price of the services which are the subject of the contract, or provides inaccurate information, the purchaser may, after formal notice has remained without effect, decide to suspend the payments to be made up to a limit of one tenth of the amount…

The obligations laid down in this section apply to companies linked to the contractor as well as to subcontractors and suppliers involved in the performance of the contract, where the latter individually account, unless otherwise stipulated in the contract, for more than 10% of the value of the contract and for more than 10 million euros excluding taxes.

The decision to carry out a cost audit is taken by the authority that signed the contract subject to audit or, where the cost estimate is made before the contract is notified, by the authority responsible for awarding the contract.

The officials or categories of officials of government departments authorised to carry out documentary or on-site audits shall be designated by order of the minister to whom they report.The officials of public establishments required to carry out such audits shall be authorised by name by order of the minister responsible.They may be placed at the disposal of any ministerial department to carry out audits on its behalf.

All civil servants or agents who have knowledge in any capacity whatsoever of information gathered about undertakings pursuant to this section shall be bound by professional secrecy and, where applicable, by the rules relating to the protection of defence secrecy.The information gathered may not be used for any purpose other than to check the cost of the contract under review or any other similar contract.