Tondi school decision
⚖️ The Tallinn Circuit Court annulled the financial correction imposed on our client the City of Tallinn, finding that the requirement for a guarantee letter from a credit institution registered in Estonia in a construction procurement did not harm the EU budget. This was because participation of cross-border bidders was not excluded, and there was no genuine interest from such bidders. At the same time, the procurement ensured a significant level of competition. It is also important to note the court’s position that even if an infringement were established, the rate of the financial correction must be proportionate to the severity of the breach. In exercising its discretion, RTK must therefore assess on a case-by-case basis why a specific rate (e.g. 10% vs 5%) is applied.