The principle of bidding planning as an alternative to reducing the termination of administrative contracts

Abstract

This article aims to investigate how to reduce the termination of administrative contracts due to technical failures, considering the new Law 14, 133, of 2021. Brazil has faced considerable losses, estimated at around R$ 10 billion, due to paralyzed works in last years. However, the study on contracting services and discontinued works is still limited. The aim is to answer the following question: if the Public Administration adopts a more rigorous planning in contracting works, will it be able to reduce the extinction of administrative contracts, according to the norms established in the new law? Using the deductive method and consulting national and foreign bibliographic sources, jurisprudence and elements of economic analysis of law. The results reveal that the planning principle is not just a formality, as defended by certain doctrinal currents. Those who cause harm may be subject to sanctions or be liable for damages. According to Ronald Coase's Theory, in long-term contracts, arbitration solutions can prevent disputes and guarantee the continuity of services and large works. Therefore, this study contributes to the understanding of how to reposition the management of administrative contracts currently, aiming at the resumption of economic and social development.