# Direct award

A direct award is a purchase without competition. From NOK 1.3 million it usually needs an exception, or an infringement fine of up to 15% may follow.

Canonical URL: https://tendline.no/en/glossary/direct-award

In Norwegian: [Direkte anskaffelse](https://tendline.no/ordliste/direkte-anskaffelse.md)

## Definition

A direct award (direkte anskaffelse) is a purchase where the contracting authority picks one supplier without holding a competition. The Public Procurement Act (anskaffelsesloven) does not define the term, and the Public Procurement Regulations (anskaffelsesforskriften) call it award without competition (anskaffelse uten konkurranse, § 13-4); the § references on this page are to the Regulations unless the Act is named. Below NOK 500,000 the procurement rules do not apply, so direct purchases there are not regulated by them. The Public Administration Act (forvaltningsloven) and the requirement for sound case handling still apply.

From NOK 500,000 up to NOK 1.3 million (Part I), competition is the main rule, but DFØ (the Norwegian Agency for Public and Financial Management) writes that the contracting authority may, by way of exception, award a contract directly to one supplier. The principles in § 4 of the Act, among them competition and equal treatment, still apply. The contracting authority has no duty to advertise in this band.

Next comes Part II, which applies from NOK 1.3 million up to the EEA thresholds (except health and social services), and to special services (særlige tjenester) from NOK 1.3 million with no upper limit. From NOK 1.3 million up to the EEA threshold, the contracting authority may only exempt the contract from Part II in seven cases (§ 5-2). The most important are that the contracting authority can only conclude the contract with one particular supplier in the market, that an exceptionally advantageous offer is available, and that unforeseen circumstances make it impossible to wait for a competition.

Under Part III, which applies at or above the EEA thresholds for supply, service and works contracts, the contracting authority may only buy without advertising the competition when an exception in the Regulations applies. These are the conditions for a competitive procedure with negotiation without prior publication in § 13-3, for example that unforeseeable circumstances, not caused by the contracting authority, make it impossible to meet the time limits for an advertised procedure, or that an earlier competition produced no tenders, and the conditions for award without competition in § 13-4. The latter include a unique work of art, competition that is absent for technical reasons, exclusive rights, additional deliveries of goods, new services or works that repeat an earlier advertised contract where the original documents reserved this, within three years of the original contract, and goods or services from a bankrupt estate on particularly advantageous terms. For technical reasons and exclusive rights, the exception only applies when there is no reasonable alternative and the contracting authority has not itself tailored the documents to one particular supplier. Directive 2014/24/EU groups these grounds under the negotiated procedure without prior publication (Article 32). Special services above NOK 8.7 million still follow Part II. For them, the same two exceptions as in Part III apply instead of the seven cases in § 5-2 (§ 5-2 (2) and § 8-17 (5) letter b); see the page on the voluntary ex ante transparency notice.

The list above is not exhaustive. Some contracts fall entirely outside the rules, for example extended in-house arrangements and cooperation between contracting authorities (chapter 3). Read the legal basis in the Regulations for the contract in question.

Health and social services only have a duty to advertise from NOK 8.7 million (§ 30-5), with the same exceptions.

The Act does not define an illegal direct award (ulovlig direkte anskaffelse), but the preparatory works (Prop. 51 L (2015-2016), page 86) say it is a procurement that has not been advertised even though there was a duty to advertise. The infringement fine and the other sanctions in §§ 12 to 14 of the Act therefore do not apply to purchases below the duty to advertise, which for most contracts starts at NOK 1.3 million.

## Why it matters for suppliers

You will not necessarily be told about a direct award. Where there is no duty to advertise, there is no standstill period (karensperiode) to wait for either (§ 25-2 and § 10-2). You may discover the purchase in a voluntary ex ante transparency notice (intensjonskunngjøring) in Doffin, Norway's national database for public procurement notices, or, under Part III, in the contract award notice, which must be published no later than 30 days after the contract is concluded (§ 21-6). Below the EEA thresholds there is no general duty to publish a contract award notice.

The contracting authority can protect itself by publishing a voluntary ex ante transparency notice that follows the rules, with a justification showing due diligence, and waiting ten days before the contract is concluded. KOFA (the Complaints Board for Public Procurement) then cannot impose an infringement fine, and the court cannot declare the contract ineffective or impose sanctions for an illegal direct award (Public Procurement Act §§ 12 to 14). If you see such a notice and believe the purchase requires a competition, those ten days are the time you have to stop the contract; a complaint to KOFA and a claim for damages remain possible afterwards.

Before the contract is concluded, you can petition the district court (tingretten) for interim measures (midlertidig forføyning, Public Procurement Act § 9) or ask it to set the decision aside (§ 8). You can complain to KOFA both before and after the contract is concluded. For an illegal direct award, no legitimate interest (saklig interesse) is required, you can complain up to two years after the contract was concluded, and the complaint fee is NOK 1,000. The fee is refunded if KOFA finds that there has been an illegal direct award. Other complaints cost NOK 8,000. A complaint does not stop the contract. Since 1 July 2026, only undertakings established in Norway or another EEA state, or in a state that is party to the WTO Agreement on Government Procurement (GPA) or another agreement binding Norway, have rights under the Act and the Regulations, and the latter only to the extent that agreement gives them rights (Public Procurement Act § 3). Other undertakings may take part in competitions but cannot rely on those rights.

KOFA is an advisory body, but it can decide to impose an infringement fine. The fine must be imposed where the breach was intentional or grossly negligent, and may be imposed where it was negligent. It cannot be set higher than 15% of the value of the procurement. KOFA can impose an infringement fine even if you have not asked for it, and can continue the case even if you withdraw your complaint. The decision cannot be appealed, but the parties to the case can bring it before the district court within two months of receiving it. The action is brought against the State, represented by KOFA, and the court can review every aspect of the case.

In the district court, you can ask for a contract with a value at or above the EEA threshold to be declared ineffective. Below the EEA threshold, but from the national threshold of NOK 1.3 million, the court must shorten the duration of the contract or impose an infringement fine, and it chooses the form and the size (Public Procurement Act § 14). Proceedings must be brought within two years after the contract was concluded, and within 30 days from the day after the notice if the contracting authority has published a contract award notice under the rules in the Regulations (§ 15 (5) of the Act). A complaint to KOFA alleging an illegal direct award interrupts the time limits. If KOFA decides the case and the time limit for proceedings would otherwise have expired within 30 days, you get a new time limit of 30 days from the day after the decision. A claim for damages for your own loss follows from § 10 of the Act.

## Legal basis

Public Procurement Act (anskaffelsesloven) §§ 8 to 15 · Public Procurement Regulations (anskaffelsesforskriften) § 5-2, § 13-3, § 13-4, § 21-5, § 21-6 and § 30-5 · Regulations on the Complaints Board for Public Procurement (klagenemndsforskriften) § 13 and § 13a

## Example

A central government agency buys consultancy services for NOK 3 million from one supplier without a competition. You see the contract award notice in Doffin. The value is above NOK 1.63 million, which is the EEA threshold for central government authorities, so the duty to advertise applied. The purchase is illegal unless an exception in § 13-3 or § 13-4 holds, for example that only one supplier can deliver for technical reasons. You can complain to KOFA without documenting a legitimate interest. If you go to the district court, the time limit is two years, but only 30 days from the day after the notice if the contract award notice was published under the rules in the Regulations. A complaint to KOFA alleging an illegal direct award interrupts that time limit.

## Frequently asked questions

### When is a direct award lawful?

Below NOK 500,000 the procurement rules do not apply. From NOK 500,000 up to NOK 1.3 million, competition is the main rule, but the contracting authority may award directly by way of exception. From NOK 1.3 million, an exception in the Regulations must be met, for example that only one supplier can deliver (§ 5-2 below the EEA threshold, § 13-3 and § 13-4 at or above it under Part III). The amounts are excluding VAT and apply to the estimated total value of the contract, including options (§ 5-4).

### What is an illegal direct award?

A procurement that has not been advertised even though there was a duty to advertise, and where no exception holds. A direct award is not illegal in itself; it becomes illegal when the duty to advertise applies and no exception holds. Purchases split up to get below a threshold can also be caught, because the contracting authority may not split a contract in order to exempt it from the Regulations (§ 5-4 (4)).

### Must I have been interested in the contract to complain?

No. For an illegal direct award, the requirement of a legitimate interest does not apply (Regulations on the Complaints Board for Public Procurement (klagenemndsforskriften) § 13a). For other complaints to KOFA, a legitimate interest is required and the time limit is six months after the contract was concluded or the competition was cancelled (klagenemndsforskriften § 6).

### How long do I have to react?

A complaint to KOFA can be made up to two years after the contract was concluded. For proceedings in the district court, the time limit is two years, but only 30 days from the day after the notice if the contracting authority has published a contract award notice under the rules in the Regulations. If the contracting authority has published a voluntary ex ante transparency notice, the contract can be concluded at the earliest after ten days. If KOFA receives a complaint alleging an illegal direct award, the time limits are interrupted, and after KOFA's decision you get at least 30 days.

### How large can the infringement fine be?

Up to 15% of the value of the procurement (Public Procurement Act § 12). In setting it, particular weight is given to the seriousness of the breach, the size of the procurement, whether the contracting authority has made several illegal direct awards, and the preventive effect.

## In Tendline

[Tendline links notices and awards to what you have bid for and won](https://tendline.no/en#how-we-work)

## Sources

- [Lovdata: Public Procurement Act (anskaffelsesloven), §§ 8 to 15 (Norwegian)](https://lovdata.no/dokument/NL/lov/2016-06-17-73)
- [Lovdata: Public Procurement Regulations (anskaffelsesforskriften), § 5-2, § 13-3 and § 13-4 (Norwegian)](https://lovdata.no/dokument/SF/forskrift/2016-08-12-974)
- [Lovdata: Regulations on the Complaints Board for Public Procurement (klagenemndsforskriften), § 13 and § 13a (Norwegian)](https://lovdata.no/dokument/SF/forskrift/2002-11-15-1288)
- [DFØ: Procurements under Part I of the Public Procurement Regulations (Norwegian)](https://www.anskaffelser.no/anskaffelsesregelverk/anskaffelsesprosedyrer/anskaffelser-etter-anskaffelsesforskriften-del-i)
- [DFØ: Guide to the Public Procurement Regulations, chapter 44 Complaints and enforcement (Norwegian)](https://www.anskaffelser.no/veileder-til-anskaffelsesforskriften/44-klagemuligheter-og-handheving)
- [EUR-Lex: Directive 2014/24/EU on public procurement, Article 32 (English terminology)](https://eur-lex.europa.eu/eli/dir/2014/24/oj/eng)
- [EUR-Lex: Directive 2007/66/EC on review procedures (Remedies Directive), Article 2d (English terminology)](https://eur-lex.europa.eu/eli/dir/2007/66/oj/eng)

Last checked against the sources: 13 October 2026

## Related terms

- [Threshold values](https://tendline.no/en/glossary/threshold-values.md)
- [Public Procurement Act (anskaffelsesloven)](https://tendline.no/en/glossary/public-procurement-act.md)
- [Public Procurement Regulations (anskaffelsesforskriften)](https://tendline.no/en/glossary/public-procurement-regulations.md)
- [Contract notice](https://tendline.no/en/glossary/contract-notice.md)
- [KOFA (Complaints Board for Public Procurement)](https://tendline.no/en/glossary/kofa.md)
- [Standstill period](https://tendline.no/en/glossary/standstill-period.md)
- [Open and restricted procedure (anbudskonkurranse)](https://tendline.no/en/glossary/open-and-restricted-procedure.md)
- [Contract modification](https://tendline.no/en/glossary/contract-modification.md)
- [Voluntary ex ante transparency notice](https://tendline.no/en/glossary/voluntary-transparency-notice.md)